Bay Area's real estate is actually pretty cheap, considering how much economical output the area has and how desirable the location has been historically.
Look at Vancouver, Hongkong, Shanghai, Moscow, Tokyo, all have waaaaay lower average household income than San Francisco Bay Area, yet wil much more expensive realestate price.
Living in British Columbia, I had always assumed Bay Area real estate would be astronomical. I found it surprising to see single family detached homes in the Bay Area for $300,000. That's entirely reasonable considering the potential incomes.
Look at Vancouver, Hongkong, Shanghai, Moscow, Tokyo, all have waaaaay lower average household income than San Francisco Bay Area, yet wil much more expensive realestate price.