We have seen a huge move in the strength of the Canadian dollar, coupled with a decline of 10-15% in dollar denominated San Diego RE. If I had some Canadian Dollars laying around I would be tempted to start accumulating US dollar-denominated assets (e.g. cash flow Real estate, Dividend-paying large company stock). Just maybe not San Diego RE.
I think the depreciation cycle in SD real estate has another 10-20% downside. I also think that US dollar has more downside, but not too much more against the Canadian Looney. Hard to imagine that one of our largest trading partners would not feel the effects of a US slow down. However, I don;t see a reversal of the dollar versus the Looney either.
Buying property in an unfamiliar area will likely be more expensive than saving 10-20% by timing. I would recommend moving here first and renting, at least for 6 months before purchasing.
The risk in making a mistake through naivete is much higher than the risk in seeing a reversal in the dollar/Looney valuation or an increase in SD prices.
