I’m also making offers in central SD on the lower end (planning to eventually move out and turn into rental). I wonder if there is a “mini-bubble” from the tax credit (ends Friday). I’ve waited this long to buy, wondering if waiting another 3 days until the tax credit to expire would be smart:) People have a sense of urgency b/c of the tax credit and are willing to get in bidding wars driving a house up by $30k just to get a $8k credit! FHA buyers get crazy and they are tough to compete with. We have not seen a housing market with NO tax credit in like 2 years, so it may be interesting post tax credit. You couple the strong possibility of more inventory and it seems like the market has a high probability of softening in the 2nd half of 2010.
I’m looking at stuff that is more 2002 price points. I think the better parts of North County have not come down past 2003 yet.
When I study all the sold comps in the areas I’m looking in, you can REALLY see how the low end bottomed in 2009…in early 2009 people were getting stuff for 2000/2001 prices, especially when they paid cash.
