Since the 70’s (and maybe before), there has been this “California thing” of rushing to buy before the other guy beats you to the deal, Primarily in CA and rarely in any other part of the entire USA would you see people camp out to pay for ridiculously priced, tract homes, In fact, most people in the country have laughed at Californians when they would show footage of people camping out and standing in long lines. Like I said, it’s primarily a CA thing. Now that prices have dropped substantially, the old greed & fear factor of beating the other guy is once again, rearing it’s head among otherwise, rational people. All anyone has to do is watch the news on tv, read the newspapers and major internet sites to realize that the economy is going to take an even greater hit over the next year-plus. Just look at what has happened in the Temecula-Riverside areas. They’re simply ahead of the curve and even if prices don’t drop as far as they have in those areas, anybody who can read or hear damned well knows that San Diego real estate prices are going to drop this year. Whether they drop 10% or 30%, you’re playing with fire and you’ll be paying back the excess money plus interest and higher taxes for a long, long time.
It’s obvious to me that some are simply tired of waiting and they’re making an emotional decision rather than a rational one.
Hey, I’m not knocking those people but it sure is interesting to watch the behavior of these potential buyers, rationalizing their purchase of a home in such turbulent, economic times. It’s their money and more power to them. Good luck to those of you who have recently jumped in and also to those who are going to do so this year.
