strong hands won’t sell if they cash flow much better than that 1%CD that most people have been tucking their money into. Just saying.

Also, there’s a fundamental reason why some of the latest foreigners from asia are different from what happened during the japan days..When the Japanese went on the real estate binge, it was about speculation. The latest real estate binge isn’t strictly about speculation. It’s about the 1% in those countries taking a hedge against political/economic instability in their homeland, in case the government decides to start going after them. Besides, foreign purchase, BTW still doesn’t make the majority of home purchases, despite the media the rhetoric- 25% i believe was the last number for all foreign purchases, most of them from canada. And most of them from asia are at the high end of real estate. So you folks worried about an “Red Dawn” like invasion can stop worrying.

Also, don’t discount how much homes are held by institutions. Remember that many of them got into the rental business as well and are just waiting to home prices to rise to sell and profit, as many other folks that bought at low prices will.

Personally, I’m in no hurry to sell. The only time I would is if/when home prices reach 2x of what I paid for, and then I might consider it of if San Diego turns into blight town (which is unlikely, and if that happened, you wouldn’t be interested in buying anyway). Why sell when it’s a steady source of rental income, that will most likely beat that CD for a long long time? And for more “affordable homes” that were bought at good times, that’s the problem that I see. There’s no hurry to sell.