I do remember and I (and others) have said it before on this board. The coastal areas and the areas close to employment will do better than the inland areas and the areas away from employment. La Jolla is both coastal and close, so price declines won’t be nearly as severe.
Add to that the fact that La Jolla and Del Mar are specifically noted worldwide as destinations for the rich; they are not solely dependent on local employment or local businesses for buyers. Places like National City and La Mesa and Poway and Carlsbad are more directly tied to local economic conditions.
La Jolla and Del Mar are not completely connected to the local scene but they also are not completely disconnected. There will still be at least some price declines, they just won’t be as bad.
As for places like National City and Logan Heights, in comparison to other areas in the region the properties in these areas are even more overpriced for what their buyers get. The wild card in those areas – in my opinion – is how large a percentage of the buyers are 1st generation immigrants. I don’t know but I suspect that many of them would have been talked into taking on one of these toxic loans. Those buyers who are capable of hanging in there through a decline will do so because the attitudes of the latino immigrants are HEAVILY biased toward property ownership. I’m just not sure how well they’ll do as a group in terms of wages and employment during an economic downturn.
