East Bay Economic Development Alliance
From the report:
As the economic recovery continues in the East Bay, key indicators such as employment are showing steady growth. We expect that employment will continue to grow steadily in the future, as consumer spending and hiring have improved throughout the rest of country. The East Bay, whose economic recovery had lagged behind that of San Francisco and the South Bay in recent years, will continue catching up to those regions.
A much more rapid recovery is underway in the housing market. A rapid decrease in the number of lower-value distressed properties on the market has contributed to a substantial increase in home prices in the East Bay, and as home inventories remain very low by historical standards, we expect home prices to continue to rise quickly in the coming year. An increase in supply, caused by a substantial increase in residential construction, will mitigate growth in prices over time, but the impact of this new construction will not be significant in the short term.