You’ll only get a good bounce back if an area is desirable for some reason (lots of new construction, and/or good schools, for example). Otherwise it will stagnate. And also, you can’t get a bounce back unless that area overshoots the fundamentals because of lots of foreclosures.

IMHO Chula Vista east of 125 is a prime candidate for a bounce back – new houses, API rank 8-9 schools, massive foreclosures. Temecula could recover nicely if gas prices drop.

Also don’t expect too much of a bounce. 20% appreciation in a year or two, at most.

You’ll only get a good bounce back if an area is desirable for some reason (lots of new construction, and/or good schools, for example). Otherwise it will stagnate. And also, you can’t get a bounce back unless that area overshoots the fundamentals because of lots of foreclosures.

IMHO Chula Vista east of 125 is a prime candidate for a bounce back – new houses, API rank 8-9 schools, massive foreclosures. Temecula could recover nicely if gas prices drop.

Also don’t expect too much of a bounce. 20% appreciation in a year or two, at most.

You’ll only get a good bounce back if an area is desirable for some reason (lots of new construction, and/or good schools, for example). Otherwise it will stagnate. And also, you can’t get a bounce back unless that area overshoots the fundamentals because of lots of foreclosures.

IMHO Chula Vista east of 125 is a prime candidate for a bounce back – new houses, API rank 8-9 schools, massive foreclosures. Temecula could recover nicely if gas prices drop.

Also don’t expect too much of a bounce. 20% appreciation in a year or two, at most.

I would think that after the bottom hits areas that are closer in will do better than areas further out… And schools matter.

Perhaps it’s my bias, but the new construction vs older construction thing doesn’t hold as much water. There are plenty of 20+ year old homes in UC, Point Loma, Mission Hills that will hold their value and bounce back, despite being older because they have good schools and are close in.

Of course if gas goes back to under $2/gallon, my theory falls apart.

I would think that after the bottom hits areas that are closer in will do better than areas further out… And schools matter.

Perhaps it’s my bias, but the new construction vs older construction thing doesn’t hold as much water. There are plenty of 20+ year old homes in UC, Point Loma, Mission Hills that will hold their value and bounce back, despite being older because they have good schools and are close in.

Of course if gas goes back to under $2/gallon, my theory falls apart.

The lower the price the higher the % gain. Of course you might have to buy more properties to get the gain you want but thats the road to getting there.

The lower the price the higher the % gain. Of course you might have to buy more properties to get the gain you want but thats the road to getting there.