Yes, the assumptions in the original post are off quite a bit. Especially if you have Head of Household filing status with several kids. Also, many households will have either double incomes or large downpayments.
The vast majority of families who live in $1MM homes / CV / Del Mar or any where else either have two incomes or one income that actually tops $200K. Remember, these areas are only a TINY fraction of homes in San Diego, and all the doctors, lawyers, consultants, business owners and executives do have to live somewhere. (Mortgage brokers don’t make the list any more). Also, dont forget about the people who have been working (and saving) for 30 years – even if they dont make $200K a year, if they bring a $400K downpayment it changes the math quite a bit.
