Palo Alto Online recently ran questionable stories claiming that Chinese home buyers were driving up Palo Alto home prices. I am still very dubious about that theory.
The Mercury-News presents a much more plausible story: Silicon Valley nerds are paying double retail value for Palo Alto properties. Don't tell me that is not throwing the market way out of whack. One nerd alone paid $40 million for 5 properties. Mercury-News: Web Link