[quote=1stimebuy]I don’t know about the general trend but for me personally, my attitude changed over the past few weeks in terms of house search.
As I realize any decent attached property will have to be around $300/sqft range, and climbing fast, I’m beginning to think that soon we’ll reach the peak days again.
That $8K, $10K gov’t incentive did a lot for buyers in low price market to do overbid at least $8K, $10K. I’ll wait to see how the market changes after the program and if it stays up, I’ll just have to rent a couple of more years… or find job outside San Diego[/quote]
I think the 8k incentive actually bumped prices at least 40k due to leverage. Asking prices at the low end seemed to jump from around 200k to the mid 200ks pretty quickly.
I am in escrow on a low end property after waiting since 2003 to buy. It is really kind of scary because I don’t know how it all will play out. It is possible I’m overpaying by 50-75k.
I came to the conclusion that government is not going to allow the much anticipated dumping of distressed inventory on the market. I guess I just got impatient and declared defeat in my search/hope for reasonable prices.
A logical view is that government won’t be able to afford the housing supports forever. Well, the government hasn’t been able to afford a good portion of spending for years. I put my money on continued government intervention, even to the point of wrecking the currency over it.
Yes, I will be disappointed with myself if the prices come down significantly because that means I will have just been a knife catcher, after having made fun of knife catching the last few years.
