Sorry to have to catch up on all these posts one at a time.
CAR
I agree 100% on the 2Mish market and that was never what I was referring to. The people I reference arent what I consider “rich” but rather “successful professionals”. These success professionals shop in the market between 600K and roughly 1.2M. Above that anything goes and yes that market is largely hamstrung by limited financing options.
92024 has been top heavy as long as I can remember. More than 50% of the listings are above $1.2M and these have always moved slowly. I beleive it speaks more to thin inventory at lower prioes. I dont remember anytime when there was lots of inventory on the streets of Encinitas. Too many longtime owners who paid pre-bubble pricing. These folks often hang on to the 92024 hoome as a rental when they move up. See it all the time.
Where we divurge is I dont beleive this market (i.e 2Mish) is large enough or close enough to start a leg down on the 600k to 1.2M market. When a 1.5M home drops to 1.2M there are a 1.2M buyers ready to swoop in on the bargain. When a $2.5M house drops to $1.9M, buyers looking at 750K homes dont hear the thud. When it drops to $1.6M the vultures swoop in a pick the carcass clean. No one below notices or cares.
