Seems like all of these threads are leading to a common theme. The reason for not buying is job stability. This was the reason for the previous declines in Southern California housing. A couple things to point out about San Diego. We are a satellite city therefore our economic base is fairly diversified. By this I mean we are not in the same danger as Detroit when it comes to massive layoffs.
Foreclosure and NOD’s are not currently correlating to speculative miscalculations and interest rate resets but are rather a function of job losses, health, divorceetc.
Perhaps the interest rate resent and non conforming loans might push the market over the edge but at the same time the government seems to be sending signals that they are going to intervene to prevent this. This might simply means that dooms day may not come.
Last thing to consider is the fact that by many account San Diego is not that different form Orange County. Climate, Job base, income yet San Diego is selling at a relative discount to Orange County.
I am not suggesting that you run out and purchase now but rather stating some facts that need to be considered as part of the counter argument.
