Spd, income growth rate is meaningless given that it excludes growth in wealth as well as wealth transferred from other parts of the world.
Health care and college tuition prices have gone up faster than income growth for about 40 years straight.
Like college, housing is in part a positional good and an investment. San Diego is in the Ivy League of desirable places to live, one of the lowest crime, lowest property tax, best weather and lowest pollution major cities.
The global rich, especially from Asia, will continue to want to either live here or, like Bill Gates, Mitt Romney, and John McCain, at least have a vacation home or three here.
We have underperformed the other major west coast markets and are an increasingly good value. We also have a good critical mass of Asian-Americans, long term immigrants, and cosmopolitan culture that will make additional Asian investors feel welcome.
