[quote=Ren]Kind of a sweeping generalization, don’t you think?[/quote]
First of all, I don’t mean to look down on anyone. I bought in Temecula before you do and I commute to Carlsbad as well. But I have data to back up my claim. Although Temecula is a rich city (as rich as Carlsbad, as pointed out by TG a while back), that’s looking at its median income. But if you look at $150K-$200K category, TV only has 2.3% of population in that category, that compares to 5.3% in SD, 6.4% of Carlsbad. Therefore, Carlsbad residents are more affordable of Carlsbad home prices (~600K) than Temecula residents.
Second, if you look at other demographic info. Temecula residents have very good eduction as well, so I attribute the reason that they have lower high income category to their ages. Temecula is very young, and these young professionals have yet to climb up their corporate ladder. That’s why I think their jobs are less stable and marginal.
Third, I have good faith in TV’s long-term future (that’s one of the reason I bought). But in near-term, it has more delinquency and more foreclosure, that will certainly add downward price pressure. A house on my street was just listed and it was purchased for less than 2 years. In the last two years, there’re so many homes bought in TV with FHA or VA loan, which are essentially almost no down payment bet for the buyers. That is a time bomb for the next few years.
Of course, I admit that whether San Diego will have less downward price pressure is just an opinion on my part. I have not studied it close enough to have any data to back that up.
