Really all I can compare it to is my experience of the ’90’s. I mean, Carmel Valley was not less desirable back then. Yet I had my place listed for a year w/no offers. Explain that. It was bottom. There was no question. I mean, I didn’t even get a lowball. That house was fairly new. I mean back in the ’90’s, much of Carmel Valley was new.
I want to say no one was buying. There wasn’t bidding wars. The only thing that was selling was foreclosures. And back then, there was not a mega bubble like today. Places were foreclosed and sold for 25% off peak in CV. So 25% off something that wasn’t a mega bubble. And that was if you were lucky to find someone w/the means to buy it.
Rates were still fairly low, like around 6 or under, which for prices back then, it’s low, but lending was tighter.
But we didn’t have government intervention, so that is a factor to consider.
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jpinpb,
In the 90ies, I can say that SD was just barely recovering from a big recession that had a big impact on the SD economy…Specifically, I recall that SD economy was wrecked by all the defense companies that was axed. SD was also much less well known back then…a La Jolla townhome 2/2 ran $300k….Folks were just talking about how the RE market was starting to pick up but still underwater. You had three chinese restaurants (4 if you counted PF Changs).
Around the mid 90ies a few select employers started hiring and growing. Niche players that were relatively unknown…Some of these niche players had a really big impact on the SD economy..
One of the key selling points in the early 90ies was that while wages were generally lower than say other tech areas like NorCal, so was the cost of living…Plus on top of that you get the weather (I know, but it was a selling point).With that, it attracted higher wage earners into SD (especially since beggars couldn’t be choosers…)..Moving forward, when the tech bubble started to climb, so did these people’s perceived wealth.
Things are slightly different from the early nineties in that San Diego isn’t exactly a small town that no one really knows about anymore, despite the pathetic “international airport”. San Diego grew up. Even the demographics has changed since then.
