North County Coastal Market-Why so sticky?

[an]

[quote=sdcellar]New construction also contributes to overall growth in the area, specifically going to my point about how this adds to the complexity in making comparisons. In the case of coastal, the older properties closer to central San Diego are still considered valuable. Witness Carmel Valley vs. Encinitas vs. Carlsbad.[/quote]
Is it really that complex? Total housing stock went up by a lot, yet resale went down by a good 35% compare to 1999. How do you explain that? BTW, new construction didn’t “add” to the complexity. That complexity has always been there. There were construction back then too, so that variable didn’t change.

[Reality]

[quote=SD Realtor]

JohnAlt you don’t have to buy anything. Your own statement confirms what I said. San Diego as a whole simply is an expensive place to live. It costs more here and it will always cost more here. Conversely more people will be priced out of housing. In fact because of the climate more people will indeed spend more. It may not be important to you but it is to them. They will live coastal and those that don’t wanna spend that money will live inland or in condos.

That is the point of the entire post to begin with. There is only a finite coastal space. Those that want it pay. Those that hope for it to go down to their own level of affordability may get lucky but probably will not.[/quote]

I’m just trying to point out the fallacy of relying on anecdotal information coming from those who come into contact with a disproportionate number of rich people.

Of course the coasts will always be more expensive than inland. Nobody argues with that. And I’m not hoping it goes down to my level of affordabiliy. I know that’s not happening. I just think the coastal areas are not as immune to this correction as SDR thinks just because it’s more delayed than other areas. People with deeper pockets have more time to hold out “until the market improves”, but not necessarily enough time.

[Reality]

[quote=SD Realtor]

JohnAlt you don’t have to buy anything. Your own statement confirms what I said. San Diego as a whole simply is an expensive place to live. It costs more here and it will always cost more here. Conversely more people will be priced out of housing. In fact because of the climate more people will indeed spend more. It may not be important to you but it is to them. They will live coastal and those that don’t wanna spend that money will live inland or in condos.

That is the point of the entire post to begin with. There is only a finite coastal space. Those that want it pay. Those that hope for it to go down to their own level of affordability may get lucky but probably will not.[/quote]

I’m just trying to point out the fallacy of relying on anecdotal information coming from those who come into contact with a disproportionate number of rich people.

Of course the coasts will always be more expensive than inland. Nobody argues with that. And I’m not hoping it goes down to my level of affordabiliy. I know that’s not happening. I just think the coastal areas are not as immune to this correction as SDR thinks just because it’s more delayed than other areas. People with deeper pockets have more time to hold out “until the market improves”, but not necessarily enough time.

[Reality]

[quote=SD Realtor]

JohnAlt you don’t have to buy anything. Your own statement confirms what I said. San Diego as a whole simply is an expensive place to live. It costs more here and it will always cost more here. Conversely more people will be priced out of housing. In fact because of the climate more people will indeed spend more. It may not be important to you but it is to them. They will live coastal and those that don’t wanna spend that money will live inland or in condos.

That is the point of the entire post to begin with. There is only a finite coastal space. Those that want it pay. Those that hope for it to go down to their own level of affordability may get lucky but probably will not.[/quote]

I’m just trying to point out the fallacy of relying on anecdotal information coming from those who come into contact with a disproportionate number of rich people.

Of course the coasts will always be more expensive than inland. Nobody argues with that. And I’m not hoping it goes down to my level of affordabiliy. I know that’s not happening. I just think the coastal areas are not as immune to this correction as SDR thinks just because it’s more delayed than other areas. People with deeper pockets have more time to hold out “until the market improves”, but not necessarily enough time.

[Reality]

[quote=SD Realtor]

JohnAlt you don’t have to buy anything. Your own statement confirms what I said. San Diego as a whole simply is an expensive place to live. It costs more here and it will always cost more here. Conversely more people will be priced out of housing. In fact because of the climate more people will indeed spend more. It may not be important to you but it is to them. They will live coastal and those that don’t wanna spend that money will live inland or in condos.

That is the point of the entire post to begin with. There is only a finite coastal space. Those that want it pay. Those that hope for it to go down to their own level of affordability may get lucky but probably will not.[/quote]

I’m just trying to point out the fallacy of relying on anecdotal information coming from those who come into contact with a disproportionate number of rich people.

Of course the coasts will always be more expensive than inland. Nobody argues with that. And I’m not hoping it goes down to my level of affordabiliy. I know that’s not happening. I just think the coastal areas are not as immune to this correction as SDR thinks just because it’s more delayed than other areas. People with deeper pockets have more time to hold out “until the market improves”, but not necessarily enough time.

[Reality]

[quote=SD Realtor]

JohnAlt you don’t have to buy anything. Your own statement confirms what I said. San Diego as a whole simply is an expensive place to live. It costs more here and it will always cost more here. Conversely more people will be priced out of housing. In fact because of the climate more people will indeed spend more. It may not be important to you but it is to them. They will live coastal and those that don’t wanna spend that money will live inland or in condos.

That is the point of the entire post to begin with. There is only a finite coastal space. Those that want it pay. Those that hope for it to go down to their own level of affordability may get lucky but probably will not.[/quote]

I’m just trying to point out the fallacy of relying on anecdotal information coming from those who come into contact with a disproportionate number of rich people.

Of course the coasts will always be more expensive than inland. Nobody argues with that. And I’m not hoping it goes down to my level of affordabiliy. I know that’s not happening. I just think the coastal areas are not as immune to this correction as SDR thinks just because it’s more delayed than other areas. People with deeper pockets have more time to hold out “until the market improves”, but not necessarily enough time.

[scaredyclassic]

hanging out with people richer than yourself is depressing. actual research shows that — better to be doing better than those around you to maximize your own happiness. happiness is relative, we like to do betetr than those around us. it’s also pleasureable to watch others crash and burn if they’re doing better than you. there are probably sound biological reasons for this. therefore, to maximize misery, live ina neighborhood you can just barely afford.

[scaredyclassic]

hanging out with people richer than yourself is depressing. actual research shows that — better to be doing better than those around you to maximize your own happiness. happiness is relative, we like to do betetr than those around us. it’s also pleasureable to watch others crash and burn if they’re doing better than you. there are probably sound biological reasons for this. therefore, to maximize misery, live ina neighborhood you can just barely afford.

[scaredyclassic]

hanging out with people richer than yourself is depressing. actual research shows that — better to be doing better than those around you to maximize your own happiness. happiness is relative, we like to do betetr than those around us. it’s also pleasureable to watch others crash and burn if they’re doing better than you. there are probably sound biological reasons for this. therefore, to maximize misery, live ina neighborhood you can just barely afford.

[scaredyclassic]

hanging out with people richer than yourself is depressing. actual research shows that — better to be doing better than those around you to maximize your own happiness. happiness is relative, we like to do betetr than those around us. it’s also pleasureable to watch others crash and burn if they’re doing better than you. there are probably sound biological reasons for this. therefore, to maximize misery, live ina neighborhood you can just barely afford.

[scaredyclassic]

hanging out with people richer than yourself is depressing. actual research shows that — better to be doing better than those around you to maximize your own happiness. happiness is relative, we like to do betetr than those around us. it’s also pleasureable to watch others crash and burn if they’re doing better than you. there are probably sound biological reasons for this. therefore, to maximize misery, live ina neighborhood you can just barely afford.

[sdrealtor]

Make no mistake about this one point. The coast is NOT immune. There are already enormous losses here. There will be more in segments of the market. The difference is there are more long term owners, less space for future growth and more than anything (IMO) more responsible homeowners. People that own quality real estate here, particularly west of the 5 and moreso west of the 101 have a very hard time selling it even when they own it free and clear as many do. They recognize the scarcity of it and the unlikelihood they could ever get back what they let go of.

While people were chasing a nice detached home everywhere the people around here are more likely to have been able to afford one already. Many bubble buyers did so with move up profits from the area or from some other area. When given the chance to upgrade many chased “bigger and better” like other places, they just didnt have to stretch as much to get there. They are more likley to have the income and assets to support it. They tend to be more stable employeed (doctors, lawyers, accountants, financial planners, business owners etc) and while their incomes may rise and fall they are not subject to unemployment in the same way others are. There are also plenty of people who bought pre-bubble that are satisfied where they are. They could easily move up but dont care to. They rather prefer the stability of their established neighborhoods which leave people hoping to move into them frustrated because turnover is low.

[sdrealtor]

Make no mistake about this one point. The coast is NOT immune. There are already enormous losses here. There will be more in segments of the market. The difference is there are more long term owners, less space for future growth and more than anything (IMO) more responsible homeowners. People that own quality real estate here, particularly west of the 5 and moreso west of the 101 have a very hard time selling it even when they own it free and clear as many do. They recognize the scarcity of it and the unlikelihood they could ever get back what they let go of.

While people were chasing a nice detached home everywhere the people around here are more likely to have been able to afford one already. Many bubble buyers did so with move up profits from the area or from some other area. When given the chance to upgrade many chased “bigger and better” like other places, they just didnt have to stretch as much to get there. They are more likley to have the income and assets to support it. They tend to be more stable employeed (doctors, lawyers, accountants, financial planners, business owners etc) and while their incomes may rise and fall they are not subject to unemployment in the same way others are. There are also plenty of people who bought pre-bubble that are satisfied where they are. They could easily move up but dont care to. They rather prefer the stability of their established neighborhoods which leave people hoping to move into them frustrated because turnover is low.

[sdrealtor]

Make no mistake about this one point. The coast is NOT immune. There are already enormous losses here. There will be more in segments of the market. The difference is there are more long term owners, less space for future growth and more than anything (IMO) more responsible homeowners. People that own quality real estate here, particularly west of the 5 and moreso west of the 101 have a very hard time selling it even when they own it free and clear as many do. They recognize the scarcity of it and the unlikelihood they could ever get back what they let go of.

While people were chasing a nice detached home everywhere the people around here are more likely to have been able to afford one already. Many bubble buyers did so with move up profits from the area or from some other area. When given the chance to upgrade many chased “bigger and better” like other places, they just didnt have to stretch as much to get there. They are more likley to have the income and assets to support it. They tend to be more stable employeed (doctors, lawyers, accountants, financial planners, business owners etc) and while their incomes may rise and fall they are not subject to unemployment in the same way others are. There are also plenty of people who bought pre-bubble that are satisfied where they are. They could easily move up but dont care to. They rather prefer the stability of their established neighborhoods which leave people hoping to move into them frustrated because turnover is low.

[sdrealtor]

Make no mistake about this one point. The coast is NOT immune. There are already enormous losses here. There will be more in segments of the market. The difference is there are more long term owners, less space for future growth and more than anything (IMO) more responsible homeowners. People that own quality real estate here, particularly west of the 5 and moreso west of the 101 have a very hard time selling it even when they own it free and clear as many do. They recognize the scarcity of it and the unlikelihood they could ever get back what they let go of.

While people were chasing a nice detached home everywhere the people around here are more likely to have been able to afford one already. Many bubble buyers did so with move up profits from the area or from some other area. When given the chance to upgrade many chased “bigger and better” like other places, they just didnt have to stretch as much to get there. They are more likley to have the income and assets to support it. They tend to be more stable employeed (doctors, lawyers, accountants, financial planners, business owners etc) and while their incomes may rise and fall they are not subject to unemployment in the same way others are. There are also plenty of people who bought pre-bubble that are satisfied where they are. They could easily move up but dont care to. They rather prefer the stability of their established neighborhoods which leave people hoping to move into them frustrated because turnover is low.

[Author]

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