From observation, most of the houses in Coronado 1.5M and under are being purchased by the middle class. These people are reaching.
I talked to a friend yesterday who owns a 3+M home here. She told me that she thought that prices would not go down much because there is so much wealth here. But then in the next breath she told me about how she was talking to two of her neighbors (also bought 3+M homes in last 2 years) and they were commiserating over their onerous mortgages. All three families are high earning but are not independently wealthy.
She also told me about another neighbor who bought as a vacation home, using this as an example of how desirable Coronado is for 2nd homeowners. But just because someone bought a second home doesn’t mean that they can really afford it. Further, they may have been speculating.
