Real Estate is a very local Business
What happens in a certain neighborhood is very different from another in the same city.
Arn Cenedella from Coldwell Banker writes about the different neighborhoods in San Francisco, the length of time it takes to sell homes there and the ability to get loans for buyers in these neighborhoods. This difference exists in every city. In Sunnyvale, for example, there is a huge difference between areas with Cupertino school district and neighborhood that belong to Sunnyvale or Santa Clara school district. Obviously the buyers who look at the more expensive areas are more qualified for better loans and can afford to buy homes in the these areas. If the difference is San Francisco comes from having a better view or safer areas, the difference in the south bay would refer to schools and education. Within the school system you would find even further distinction. Areas in Los Altos Hills and Saratoga that are already in the better school districts and have views are even more expensive and sell better.