Just my thoughts. Hope it shed some light.
Steve Mun Group
A greater distance from most work places means that there are more choices of homes. Most people do not want to spend time in commute traffic but will if they can get a better house at the same or lower price.
Alum Rock real estate statistics are at
Santa Clara real estate statistics are at
Another factor that is harder to judge is that investors are often attracted to lower priced homes because the income per dollar invested tends to be a little higher. Some investors sat on their money during the economic downturn then jumped in when they felt the time was good. Those that weren't sitting on a significant amount of cash may have been hurt by the downturn enough that they haven't returned to investing in real estate yet. Investment properties are having somewhat mixed results ... which might be slowing the recovery of lower priced homes.
Top 2 agent nationwide at Keller Williams Realty, the nations largest
Over 30 years experience
Over 1,000 homes sold in Santa Clara and San Mateo Counties
Property prices in the Bay Area are driven by the quality of schools. The better the school (API score) the more expensive the property prices. This is why similar homes in Santa Clara are much more expensive than in Alum Rock. And why similar homes in Cupertino are more expensive than Santa Clara.
Parents are willing to spend more for homes to guarantee the future of their children with better education. Going to a school in Cupertino or Palo Alto would better the chances of a child being accepted to Stanford or UC Berkeley.
Hope this helps
You got a few great answers below. Just in case you would like to research schools in Alum Rock and Santa Clara, you can visit my website at http://lamsondang.com, click on School API Score.
You can also use "Find A Home" to search for current Active Listings on the market. This tool is connected to Pro-MLS, so it's updated daily.
Thanks and Best wishes,