[DarkmSparks]

A big section of this is the petrodollar creating an perversly stong USD.

As that dies off and the USD rebalances to a post American empire equilibrium, housing priced in USD will be far more similar everywhere, exactly the same way it did post British and French empires. (back when 1gbp would buy you 10usd)

[b112]

I don't get the reasoning here. Costs in SV are a direct result of the economic powerhouse it is, and the size of the local population. A lot of people cite all sorts of other reasons, but those reasons exist in every other US state to a degree, and yet many of those states do not have high property costs.

It's all about population density compared with economic might.

If the USD was to crash tomorrow, people in SV would still draw their salaries, housing would still be the same price relative to them. You're not going to erase costs due to population density and economic drive, because a dollar drops a bit.

Not to mention, the UK has a GDP basically half the US per capita. That has nothing to do with a petro dollar or not. I really see the "petro dollar" thing is a talking point, without the validity to back it up.

[DarkmSparks]

the best quick source for the "true" value of a currency is the big mac index

https://www.economist.com/big-mac-index

generally speaking USD is going to lose about 50% of its value as the petrodollar and yen carry trade unwind over the next couple of decades.

So to understand what is actually being earnt and spent in the US in a global context, just divide USD prices by 2, then you can see e.g. the US and UK gdp per capita are basically the same.

Its obviously far more complex than this, but that basic rule of thumb still holds even when you add in all the complexity.