[quote=Bob][quote=eclipxe] In normal times Temecula is always a “deal” because of the location factor.[/quote]
The key point here is that we aren’t in “normal” times. And as I’ve stated over and over, the bottom has yet to hit in northern San Diego County. Temecula has always been a bedroom community for San Diego commuters – and TV prices won’t rebound until the bottom first hits in San Diego County.
As for the “deals”, I was referring not only to Temecula, but the entire country. Other markets, including Las Vegas and Phoenix, are seeing the same flurry of sales activity the past few months, and it has everything to do with low interest rates and lowball list prices.
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I agree that there won’t be any type of rebound any time soon. This is an L shaped curve. Price’s wont go up until there is serious job creation, wage inflation or a combination of both. I think we all can agree that won’t happen soon. I didn’t buy in hopes of catching appreciation, I bought to reduce my monthly costs (cheaper than renting).
While price pressure from Northern San Diego is a consideration the price disparity is way off base versus fundamentals.
Those same houses would go for $215-280k out here. There is a such a disparity in the San Diego market that time is not on your side if you are waiting for SD price drops to impact TV. Maybe the ALT-A resets will cause coastal owners to capitulate and we’ll see the bottom fall out instantly and plummeting in TV. Maybe not.
