Opening Comments
Picture of the Day
Food Coma
Quick Bites
Markets, Food Prices, Black Friday, China News
China Vessels, Biden Travel Bans
CA Prison Transfers, Bail Reform Under Pressure
Interesting Article About a Professor’s Socialism Experiment
Other Headlines
Virus/Vaccine
Data
All Eyes On Omicron
Merck Pill Less Effective Than Thought
Real Estate
My General Comments-Miami Micro Units
Greenwich, CT Update-Mark Pruner
Austin, TX Article
Opening Comments
Given the Omicron news, I have an expanded Virus section with my findings and thoughts, but to be fair, it is hard to draw too many conclusions so early in the Omicron variant life. What initially seemed like it could be troubling, might prove to be less so, but it is in an early stage and will take weeks to see how serious it becomes. A South African doctor says Omicron variant symptoms are ‘unusual, but mild.” A reader sent me this article from a Science.org article attached entitled, “Patience is crucial”: Why we won’t know for weeks how dangerous Omicron is. An evolutionary biologist, Dr. Bloom, believes vaccinated or previously infected people are unlikely to completely lose their ability to neutralize the virus according to the article. “But I would expect, based on this particular combination of mutations, that the drop in neutralization is larger than for all the other major variants,” Bloom said. Personally, I feel we are in a better place today with vaccines, antibody cocktails, and new treatments. Moderna and Pfizer also have announced it will take approximately 100 days to update the vaccine if necessary. Yes, I am concerned about Omicron, but I am cautiously optimistic despite it being early days. I am concerned as I read in this Newsweek article that only 10% of Americans have received a booster (I thought it was 20%) and there is a growing fear of constant shots. If Bloom is right, people may need yet another shot and I can see a lot of people unwilling to do it.
I was pleasantly surprised by a solid open rate in my last piece given it was the night before Thanksgiving. I received a lot of calls and emails about the picture of the day and not being able to see the snow leopard in the picture. The open rate was in line with other recent pieces and open rates are increasing. They are not what they were a year ago when I was getting an astounding 80% or more.
I had a family over for Thanksgiving from Maine. The son is Jack’s physical trainer as well as the trainer for multiple top ranked players on the PGA tour including Viktor Hovland#9, SungJae Im#26, Joaquin Neiman#30 and others. I asked Andrew’s parents about heating bills in Maine and expectations for the winter. They received a letter suggested they should expect an 80% increase in the cost of heating oil this winter. This cost is approximately 1/2 of the bill, so they are expecting a 40% increase in the cost to heat the house. Many Americans will have sticker shock when bills come as temperatures drop. In my opinion, we are a long way from relying solely on alternatives energy and I am concerned about the and reliance on other countries for oil.
In the never ending aging story, it turns out I have arthritis in my left foot which was confirmed by an MRI. I am 52 and in shape and have arthritis? I thought it was an old person’s thing. If you see me limping or I smell like some horrible arthritis cream, it is because I am an old man and falling apart. I really do belong in Boca with my elderly friends. If you find me playing shuffleboard or taking a nap, shoot me.
Heading out night fishing, so hitting send early.
Picture of the Day-Omicron Skips Nu and Xi
The WHO named the newest variant Omicron and skipped the Greek letters Nu and Xi. Given this is the Wuhan virus and China’s role in this global disaster, I find it interesting that a strain should be called the name of the President of China. Clearly, the WHO made the right decision but thought I would share the Greek Alphabet below so readers could see for themselves. The WHO skipped Nu and Xi intentionally." 'Nu' is too easily confounded with ‘new,’ and ‘xi' was not used because it is a common last name, and WHO best practices for naming disease suggest avoiding ‘causing offence to any cultural, social, national, regional, professional or ethnic groups,’" a WHO spokesperson told Fox News in a statement on Saturday.
Food Coma
As someone who enjoys cooking, I am accustomed to making big Thanksgiving feasts. On Wednesday, I did the baking of pies, cookies, brownies or whatever sweets were on the menu. I also did a lot of prep with the help of my wife, Jill, for herbs, onions, garlic, shallots, leeks to prepare for the big day. Thursday, was up early to get things going and be sure dinner was ready by 4:30pm. I would say the hardest part about cooking a lot of different food is figuring out how to get them cooked and ready at the same time. Cooking a 19-pound turkey is not an exact science from a timing perspective. Add to this a 7-pound turkey breast, roasted cauliflower, broccoli, mac & cheese, stuffing, sweet potatoes and cranberry sauce and you have a lot to juggle. For the roasted cauliflower and broccoli, I use garlic, shallots and leaks to add to the flavor. Then there is the pesky issue of oven space. Despite having multiple ovens, there are only so many racks and the turkeys each take up one oven. My sister, Shelley, was in town and she helped out quite a bit. I always wear a hat when I am cooking to avoid my long hair getting in the food. I was checking the turkey breast in this photo and the big, 19-pound bird is in the background with stuffing in the foreground and a pot of cranberry sauce as well.
Interestingly, the big bird cooked at a rapid pace despite the fact that I was continually lowering the temperature. I used 3 different meat thermometers as I was in disbelief that the turkey could cook so quickly. I had anticipated 3.5-4 hours and it was cooking so fast, I brought the temperature of the oven down to 250 at one point.
Thankfully, everything was cooked to perfection and people ate multiple helpings. I had three plate fulls of food and did not feel so well after dinner. I am not sure why I do this to myself, especially on my 52nd birthday, but I did it anyway. I literally could not fit another bite into my mouth. Add to this, plenty of good wine flowing and I needed a break. I find it frustrating that after hours of cooking the dinner is eaten relatively quickly. I make a paste of crushed fennel seed, garlic, rosemary, lemon zest and olive oil and covered the turkey breast over a bed of vegetables including onions, leeks, shallots, garlic, thyme, carrots, celery….
Thankfully, we took a pause and I heated up the pies and gave everyone time to digest the food a bit before a big dessert. My son, Jack, looks forward to Thanksgiving dinner and did not disappoint in his quest to pack on some pounds. He ate so much he literally was in a food coma. He was laying nearly lifeless on the couch groaning that he ate too much food. Mission accomplished. Another satisfied customer.
The dessert was ready and there was an apple crumble pie, a traditional apple pie, homemade cookies, a decadent chocolate & peanut butter Reeses Pieces birthday cake made by my sister, Debbie, and doughnuts dropped off by a friend. Of course, there was ice cream too. Just what I needed after three helpings of food, another 1,000 calories.
After the guests left, I waddled my big belly up the stairs, brushed my teeth and laid in bed mad at myself for eating too much. My tryptophan filled turkey helped to create a food coma for me too and despite my full stomach, I fell asleep quickly. I hope I show some restraint next year, but doubt it will happen and the idiocy will strike again. I feel I am a disciplined person, yet on the holiday of Thanksgiving I become a sloppy eater of anything which is not moving. Those sweet potatoes with marshmallows went in a hurry for a reason. I ate them all! I love and hate Thanksgiving at the same time given my inability to control myself. How will I ever fit into those pants from “My waist is expanding faster than inflation” Rosen Report?
Quick Bites
Markets sold off sharply on Friday on the news that a concerning new variant was found in South Africa. Officials also expressed concern that the mutation, Omicron, could result in immune evasion and enhanced transmissibility of the virus, but added it is too early to tell what kind of impact the mutations will have on vaccine efficacy. U.S. stocks dropped sharply on Friday as a new Covid variant found in South Africa triggered a global shift away from risk assets. The Dow dropped 905 points, or 2.53%, for its worst day of the year, closing at 34,899. The S&P 500 lost 2.27% to close at 4,595, while the Nasdaq slipped 2.23% to finish at 15,492. The Dow was down more than 1,000 points at session lows. Airline stocks fell sharply for obvious reasons with United, American and Delta falling between 8-10% on the day. The 10-Year Treasury fell 16bps on the flight to quality trade and now yields 1.48%. Oil fell 13% or over $10/barrel to $68 on fears of falling demand given the potential impact of the new variant. Crypto was not spared as Bitcoin fell 8% to $54k and Ether was down almost 10% to $4.1k. Bitcoin is now down over 20% from its recent $69k high. The chart below shows performance by sector on Friday during the sell-off. If you want more detail, this link allows you to drill down into each sector to see the components and their performance. Based on the news stories I read, I would think we would see volatility in both directions this week on headlines. If governments start talking shutdowns again, then expect a decent leg lower in energy and travel and leisure. Fauci said, it is "too early to say" whether we need new lockdowns or mandates, but clearly they are thinking about it.
Just what we all wanted to hear; another reason food prices are going up. A global shortage of nitrogen fertilizer is driving prices to record levels, prompting North America’s farmers to delay purchases and raising the risk of a spring scramble to apply the crop nutrient before planting season.
Farmers apply nitrogen to boost yields of corn, canola and wheat, and higher fertilizer costs could translate into higher meat and bread prices.
World food prices hit a 10-year high in October, according to the UN food agency. Global nitrogen fertilizer sales were worth $53bn in 2020, and prices are at least 80% higher so far this year, according to Argus Media.
Mastercard suggested Black Friday sales were +12.1% year over year. However, this CNBC suggested in store sales dropped 28% from pre-pandemic levels as mall traffic appears to be down sharply. I have one personal data point. I went to Best Buy in West Boca on Friday Afternoon and was shocked at how few people were there. I bought a 75” TV and two laptops. I asked the salesman how sales compared to last year. He said, “I got here at 4am and doors open at 5am and maybe two dozen people were waiting to come in today. Last year, 250 people were waiting. This year, including your $5,300 spend, I am at $10,000 on the day and last year I did over $40k.” I followed up with him and the store averages $1.4mm for Black Friday and did $910k this year which is -35%. This CNBC article suggests mall traffic was down, but the National Retail Federation is expecting holiday sales to climb 8.5-10.5%.
I have a few related stories about China. For those new readers, I am very critical of the Chinese Government for a host of reasons including: creating and spreading the virus, lying about it, buying up all the PPE, never admitting fault, stealing US patents, human rights violations, selling weapons to questionable countries…..). Five U.S. lawmakers arrived in Taiwan on Thursday to meet with government officials, defying an admonition from Beijing to stay away from the hotly contested democratic island. “When news of our trip broke yesterday, my office received a blunt message from the Chinese Embassy, telling me to call off the trip,” Rep Elissa Slotkin, D-Mich., wrote on Twitter. China said the US made a "mistake" in inviting Taiwan to Biden's upcoming democracy summit. Xi Jinping recently warned that Biden was "playing with fire" when it came to Taiwan. Chinese regulators have asked Didi Global Inc.’s top executives to devise a plan to delist from U.S. bourses, people familiar with the matter said, an unprecedented request that’s likely to revive fears about Beijing’s intentions for its giant tech industry. The country’s tech watchdog wants management to take the company off the New York Stock Exchange because of concerns about leakage of sensitive data.
This China story suggests the number of signals coming from ships in Chinese waters has dropped 85% recently. This cannot be a positive development for supply chain issues and neither can this one. China is imposing mandatory quarantines of up to seven weeks for returning Chinese seafarers. Crew changes are getting more difficult due to stricter government requirements, says the Global Maritime Forum.
Ships are rerouting to work around China's restrictions, prolonging shipments.
The United States will bar entry to most travelers from eight southern African countries beginning next week over concerns about a new coronavirus variant found in South Africa, President Joe Biden said on Friday. I applaud this decision the same way I did when then President Trump banned travel from various countries. There were many who suggested Trump was Xenophobic and also questioned the “African ban” when Trump imposed it. The NAACP and 7 other groups called the travel ban “an attack on the rights, dignity and identity of African American communities,” when Trump put it into place. What will they say about Biden now that he has done the same thing? This was a Tweet from Biden when Trump enacted a travel ban from Africa. The Tweet below is dated 2/1/20. Biden called the ban a “disgrace.” My frustration is Biden suggested Trump was racist and Xenophobic in his comments when Trump enacted travel restrictions and the liberal media followed suit. Now that President Biden enacts travel bans to keep Americans safe, the media says nothing. I support Presidents who make tough decisions to protect American citizens. It is the right thing to do regardless of who is doing it. Biden, you called out Trump when he imposed travel bans and you are doing the same thing. Being the President requires you to make tough decisions. Maybe, if you make more tough decisions like the travel ban, your approval ratings will go up. I would have banned flights IMMEDIATELY. No need to wait until Monday in my opinion. I also would be closing the Southern border if you are concerned about Omicron.
I wrote about this topic previously and some readers questioned if it was true. As a result, when I read this article, I had to include it. In summary, in the woke state of California, male prisoners who identify as a woman are moved to a woman’s prison. There is now a lawsuit as women are being sexually assaulted by the men who claim to identify as women. No one could have possibly seen this one coming. A woman's rights group is suing the state to overturn a new law that requires prisons to place transgender and gender nonbinary inmates in facilities that correspond to their gender identities, alleging the practice puts incarcerated people in danger. The Women's Liberation Front filed a lawsuit last week in the U.S. District Court for the Eastern District of California on behalf of several incarcerated women as well as a group, Woman II Woman, that advocates on behalf of incarcerated women. Two of the plaintiffs in the lawsuit, both incarcerated women, allege they were sexually assaulted by inmates who identify as transgender or gender non-binary. So far, 291 people in the male correctional facilities have requested a transfer and 41 have been approved.
This NPR article is interesting and is entitled, “There’s a backlash brewing against bail reform after the parade tragedy in Waukesha.” I have written on bail reform dozens of times including my last report. In an effort to protect criminals we have gone too far and have hurt law-abiding citizens. Again, if you are a non-violent, first time offender, I am supportive of low or no bail. If you jump a turnstile at the subway, I do not believe you should be held on $1mm bail. However, if you are violent or a repeat offender, I am adamantly opposed to bail reform. Some shoplifters have been released over 50 times. Darrell Brooks who has now killed 6 people and injured dozens more after running them over with his truck. Remember, he was out on a whopping $1,000 bail for punching the mother of his child in the face and running her over with his car. He has 10 arrests for firing a gun at his nephew, inflicting bodily harm, disorderly conduct, domestic abuse and is a registered sex offender. Progressives, I am telling you now, if you think believe that this type of bail reform is going to help you win elections, you are wrong. The Waukesha County DA is a Progressive who believes Bail Reform is the way to go. We have seen other Progressive prosecutors in NYC, Philly, Boston, St Louis and San Fran design similar reforms. Why are more democrats not calling out Daryl Brooks and his ridiculously low bail set by the DA. To add insult to injury, some moron started a “Go Fund Me Page” for Brooks aimed at collecting $5mm for bail for the murderer. However, the website took down the campaign for violating the company’s terms of service. I would have gone ballistic if people donated $5mm to Brooks for his bail.
I was sent this story from a reader and found multiple articles to support it. Although I am not positive about its authenticity, the case study is interesting enough that I wanted to share it. To be fair, I found that Facebook took down posts on this story questioning its accuracy. In short, a college professor encountered students who suggested socialism works as no one would be poor and no one would be rich. The economics professor decided that on tests, the average score would be everyone’s grade in an effort to substitute grades for dollars. After the first test, the average grade was a “B” and the students who studied hard were upset and those that did not were happy. The second test average grade was a “D” and the third test average grade was an “F.” There was no incentive for the kids to study and everything fell to the least common denominator. Even though I am not positive this is a factual story, I believe the outcome would have happened similar to the way it was outlined in the story. I am an unabashed capitalist who found incredible success with a system which rewarded hard work, value creation and making a difference. I will never be ashamed of my strong pro-business, pro-growth views which reward value creation. I have no problem with Elon Musk, Jeff Bezos or hedge fund managers making billions. They are changing the world for the better. I have no problem with a young person adding value and being rewarded for it. I want people to work hard, make a difference and be rewarded regardless of who they are or their age, race, religion, gender identity... Socialism takes away the quest for greatness and it is not a system I want to see adopted. Sorry Senator Sanders I disagree with you and the Progressives on this topic. Again, not sure if this story is real, but either way, I enjoyed it.
Other Headlines
So despite record markets, 11.5% of Americans are not buying any gifts.
After reading this article, I am unsure of the level of ineptitude at the police department. The man gave his fingerprints, name and social security number, but was held and forced to take drugs for two years.
Los Angeles-area looters target Home Depot, Bottega Veneta stores on Black Friday
Crowbars, mallets and sledgehammers were stolen from Home Depot. Do we think the looters are doing some home renovation or will they use it to rob other stores?
Large Groups Rob Burnsville, Maplewood Best Buys On Black Friday
This story suggests up to 30 people made off with goods in Minneapolis.
World’s top Apple expert reveals exact year when iPhone ‘will become obsolete’
WSJ story considers possible origins of the virus
‘Licorice Pizza’ Review: California Dreaming and Scheming
This movie is receiving amazing reviews and stars Cooper Hoffman (Phillip Syemour Hoffman’s son). I have not been to a theater in over two years, but the movie sound fantastic. To me, Hoffman was on a short list of best living actors when he passed away.
Canada’s indigenous health expert Carrie Bourassa loses job when ancestry claims prove false
New Smithsonian exhibit features first 'genderless voice assistant'
There is a voice link in the article above for you to hear what a genderless voice sounds like. I am not sure where the wokness ends.
Biden spotted in Nantucket shopping indoors without a mask despite sign mandating them
Virus/Vaccine
The good news is case growth is slowing and only grew 6% over the past 14 days with cases averaging 85k/day. Cases are now dropping in the Midwest and Northeast which were the two hardest hit regions recently. All regions are now seeing declining cases for at least the past few days. Even Michigan which has been hit hard is seeing cases drop. Hospitalizations grew 12% and are 53k, while deaths dropped 12% to under 1k/day. All eyes on Omicron which is outlined below.
Markets sold off worldwide on Friday after South Africa raised alarm about the new “variant of concern” that the WHO named Omicron. The panic may be driven more by the fear of new government lockdowns and social distancing than by the variant itself. The WHO called a special meeting after scientists found at least 30 mutations to the spike protein, the part of the virus that binds to cells in the body. Belgium Israel, Turkey, Egypt and Honk Kong, Germany, Italy, UK all have confirmed case of new variant as well. From what I have read, Omicron is highly contagious and is more transmissible than other variants. The mutations on the spike protein is what you would expect from a virus trying to escape the vaccine directed at the spike protein. However, reports out of South Africa suggest people are not getting incredibly ill when infected. "It presents mild disease with symptoms being sore muscles and tiredness for a day or two not feeling well," Coetzee explained. Dr. Angelique Coetzee, a board member of the South African Medical Association, first noticed otherwise healthy patients demonstrating unusual symptoms on Nov. 18. "So far, we have detected that those infected do not suffer the loss of taste or smell. They might have a slight cough. There are no prominent symptoms. Of those infected some are currently being treated at home.
"This Business Insider article suggests that cases in South Africa have grown 13 fold since November 9th (275/day to 3,700/day). This nature.com article suggests the spread in South Africa was particularly acute in schools and among young people. All 77 samples collected by one research team in the Gauteng region in South Africa were attributed to Omicron between 11/12-11/20. The market reaction Friday was severe with virtually all risk assets down sharply.
One article suggested at least 61 out of 600 passengers who landed in Holland from South Africa on Friday have Covid. The CDC claims there have been zero reported cases in the US, but do not believe that will be the case for very long. One report suggested quarantined passengers in Hong Kong tested negative on PCR test initially and then positive to the tune of 18 and 19 Ct levels and passengers were vaccinated with Pfizer. The lower the number, the higher the viral load and initially, the CDC was considering 35+ Ct scores contagious. However, a reader sent me an NIH article showing no correlation between Ct values and severity. This CNBC interview with Dr. Gottlieb on Friday was interesting about his take on Omicron. He did not seem overly concerned and is cautiously optimistic, the vaccines will be effective against the new variant.
Concerns of new restrictions, lockdowns and the potential impact of the new variant are weighing heavily on the markets. For example, NY Gov Hochul signed an executive order to postpone elective hospital surgeries. I felt this order was a bit premature given we don’t know enough about the new strain. It is too early to tell how bad Omicron will be, but I presume we will know a great deal more over the next couple weeks as we see how severe it becomes.
Pfizer and BioNTech said Friday that a COVID-19 vaccine could be tweaked and produced within 100 days to counter a "vaccine-escape" variant. "As always, we will continue to follow the science as we examine the best approaches to protecting people against COVID-19," Pfizer wrote. "In the event that vaccine-escape variant emerges, Pfizer and BioNTech expect to be able to develop and produce a tailor-made vaccine against that variant in approximately 100 days, subject to regulatory approval."
The FDA made public Friday their initial review of the drug’s application, including an analysis of clinical-trial data for the drug, molnupiravir. Agency staff said the drug was effective at reducing the risk of hospitalization and death, but they didn’t take a position on whether the agency should authorize the drug. The agency also said no major safety concerns turned up in late-stage testing. The FDA said it is still conducting its review of molnupiravir, after the companies told the agency earlier this week the pill was 30% effective in a final analysis of the late-stage study results. After taking an early look at results, the companies had reported in October that molnupiravir was 50% effective.
Real Estate
My quick comments. I found this Bloomberg article about micro units interesting. Given pricing pressures. Interesting data points and for all those folks looking to move, you might want to open the link. It’s not just home sales that are sizzling in Miami. Investors eager to play in the hot property market are also buying up tiny condos that can be rented out as hotel rooms. Developers are giving them a lot to choose from: There are 2,770 short-term units -- micro condos that can be rented out daily -- planned or under construction in greater downtown Miami, according to data from Related ISG Realty. That compares with just 779 that were built from 2012 to 2020.
Greenwich, CT Update from Mark Pruner of Compass
Our market is like a car running on a quarter tank of gas. Our inventory continues to remain very low. We peaked at 342 single-family-home listings in June, we should have peaked around 700 listings in May. Our listings then dropped for the next 4 months to 229 listings at the end of October. (see below)
Fortunately, the slide stopped in November and inventory rose slightly to 243 listings in the first part of November. The rise in contracts mean that for the first time in 4 months listings were coming on faster than sales. The number of outstanding contracts followed the same pattern dropping from 263 contracts in June to only 101 contracts at the end of September. This is a fairly typical seasonal pattern, just shifted a month forward. As the Covid vaccines kicked in we started seeing more buyer activity just delayed a month.
Then uptick in listings led to an immediate increase in sales. Through 11/24 we have had 44 sales when our 10-year average is 43 sales. So once again sales are going to be above average by the end of November. What's remarkable is that we are doing this with very low inventory, much of which has been on the market for a while. Of the 224 listings we have today, 77% have been on for more than 60 days. In reality, we only have 52 "fresh" listings on the market or 23%. Any properties, priced to market, that are in good shape will have a contract in the first two months and probably the first two weeks.
Part of this is I, and I'm sure other brokers are pausing new listings until after the Thanksgiving holidays. I expect a bunch of new listings next week. (I have three to put on including a beautiful high-end property in a gated community with water views.) If listings stay up our sales will continue to grow as older listings are generating interest.
I've got a back-country contemporary which has been on the market for 6 months, as it needs updating. The seller has come down in price and we've had 5 showings in the past week with one and possibly two offers coming in next week when folks get back from Thanksgiving.
We still have lots of buyers and if we had more inventory, we'd have lots more sales. Our median sales price is now $2.3M compared to $1.87 million at the end of 2019 or an increase of 23%. Clearly, folks from Greenwich and NY Metro area are moving to Florida and other warmer climes, but we've always had that. The movement from Greenwich to the South slowed post-recession as people waited for house prices to recover after the Great Recession. The owners of this shadow inventory have nearly all sold with many moving south. In addition, I think a bunch of people have also accelerated their retirement and relocation plans. This has been great for our market as we needed record amounts of new listings to get record number of sales. Our 2020 all- time record of sales was eclipsed by October 23rd of 2021. This year is already a
record year and each sale makes it more so.
We have 5 properties under contract that are listed over $10M and 18
contracts for listings over $5M. The market for young families and
downsizers from $1 - 2M is fierce. Overall, it's an interesting time to
be in the market.
Austin, TX Article on R/E
I have written about Austin a few times and everything I read suggests the place is booming. This article is no different. Over the last few years, in one of the fastest-growing cities in America, change has come at a feverish pace to the capital of Texas, with churches demolished, mobile home parks razed and neighborhood haunts replaced with trendy restaurants and luxury apartment complexes. The transformation has perhaps been most acutely felt across East Austin and the neighborhood of Montopolis, a 2.5-square-mile patch southeast of downtown, where unobstructed views of the ever-expanding skyline have made the historically Black and Latino neighborhood a sought-after community.
The lack of affordable homes has been underscored by the relentless sight of homeless encampments outside City Hall and under busy highways. (The city recently began efforts to clear them after voters approved a public camping ban this year.) In 2018, while already experiencing explosive growth, at least 35 Austin neighborhoods were undergoing some stage of gentrification. Another 23 neighborhoods were at high risk of following suit, according to a study commissioned by the city and conducted by researchers with the University of Texas. And since 2010, the median household income has jumped from $55,744 to $80,954, according to the chamber. Those high salaries have pushed up the price of housing, including rentals, the cost of which surged 38 percent over the last decade, more than other fast growing Texas cities like Dallas and San Antonio, according to a 2020 Root Policy Research housing market analysis. The city, which saw an increase of nearly 160,000 people over the last 10 years, “can’t build homes fast enough,” said Rob Gordon, manager and real estate agent with the realty company, JBGoodwin. In the neighborhood of Northwest Hills, about 20 minutes northwest of downtown, where Mr. Gordon does a majority of his business, 18 of the 19 homes on the market this spring sold for more than the asking price, an average of a 113 percent spike, Mr. Gordon said. One home, listed at $975,000, was sold for $1,395,000 after a grueling bidding war.