A SWE starting in 1996 would be making in the low-$30k range. I know, because I started in 1996. 🙂
1996 was the last trough…adjust for inflation and that is the absolute floor of the San Diego market.
I believe conventional loan rates were in the 8% range in 1996. So you have to adjust based on the greater affordability.
And you have to adjust upwards for the more diversified industries that San Diego has now thanks to the dot com bubble, and for the lower interest rates.
Then you have to adjust downward for the high unemployment, but that is mostly hitting the non-college crowd, so let’s call that adjustment a wash with the diversified economy.
I think the bottom here is 1996, inflation adjusted, and interest rate adjusted (from 8% to 5%). I believe nominally, that takes us to the 2001-2002 price range.
