[Arraya]

I do not SD is immune to that but to what degree?

I agree on the San Fran, NYC argument. Something gets ingrained in the pysche of specific areas which causes them to pay perverted prices for there homes and a larger portion of their income for the mtg payments.

Also, I think that should lead to a detailed analysis of the economics of the individual areas. I don’t think median income is all it’s cracked up to be as in median home price.

I’ve been to SF/NYC on mulitple occasions and it just feels like there is a lot more money than SD not just the 15-20% more median income. Don’t have specifics but if memeory serves it was no that much more than SD… But I could be wrong…

[Arraya]

That still does not address the affordibilty issue.

Maybe when it is all said an done Southern Californians will decide they need to pay a much larger portion of their incomes, historically speaking, towards there mortgage.

However, that can not be good for the long term financial health of the people.

[Arraya]

That still does not address the affordibilty issue.

Maybe when it is all said an done Southern Californians will decide they need to pay a much larger portion of their incomes, historically speaking, towards there mortgage.

However, that can not be good for the long term financial health of the people.

[Arraya]

Lack of affordibilty is the main problem with local real estate. An increase in interest rates can only exacerbate the affordibility problem and push prices further down…

It all boils down to the affordibility of the area realative to peoples income. Home prices will not stop declining until they get somewhat in line with the affordibilty to the people in the area. It is much more complex than that however that is the issue boiled down to it’s simplist form.

[Arraya]

Lack of affordibilty is the main problem with local real estate. An increase in interest rates can only exacerbate the affordibility problem and push prices further down…

It all boils down to the affordibility of the area realative to peoples income. Home prices will not stop declining until they get somewhat in line with the affordibilty to the people in the area. It is much more complex than that however that is the issue boiled down to it’s simplist form.

[Arraya]

Keep buying houses scruffy… They never go down you’re going to make a killing!

[Arraya]

Keep buying houses scruffy… They never go down you’re going to make a killing!

[Arraya]

I think it all depends what you are watching. I pay attention to central SD.

I the last 6 months

Dowtown- inventory seems to have doubled and roughly 20% of all re-sale condos are selling at a loss.

Hillcrest -where I live, prices seems to be hanging tough but inventory has skyrockeded with condos which is 2/3s of the market. People are starting to crack and sell under market value. Probably about 15 months supply+ and climbing on market.

Kensington/normal hieghts/north park/southpark-there used to be only 3-4 sfrs under 400K now there are at least 30-40 and climbing.

Combine all that with all the REOs that have popped up. Seems to be 1 in 10 are bank owned.

To me it is imploding…

[Arraya]

I think it all depends what you are watching. I pay attention to central SD.

I the last 6 months

Dowtown- inventory seems to have doubled and roughly 20% of all re-sale condos are selling at a loss.

Hillcrest -where I live, prices seems to be hanging tough but inventory has skyrockeded with condos which is 2/3s of the market. People are starting to crack and sell under market value. Probably about 15 months supply+ and climbing on market.

Kensington/normal hieghts/north park/southpark-there used to be only 3-4 sfrs under 400K now there are at least 30-40 and climbing.

Combine all that with all the REOs that have popped up. Seems to be 1 in 10 are bank owned.

To me it is imploding…

[Arraya]

What wonderful data, thank you!

[Arraya]

What wonderful data, thank you!

[Arraya]

Check this property out….

http://www.sdlookup.com/Property-E17128B7-4627_Ocean_Blvd_414_San_Diego_CA_92109

Purchased 12/05 for 850K. Just listed for 795-850. The unit below sold for 669K last month. It’s 300 sqft smaller and one less bdr but it still looks like a push for them to get over 800K.

So yes it can go down.

[Arraya]

Check this property out….

http://www.sdlookup.com/Property-E17128B7-4627_Ocean_Blvd_414_San_Diego_CA_92109

Purchased 12/05 for 850K. Just listed for 795-850. The unit below sold for 669K last month. It’s 300 sqft smaller and one less bdr but it still looks like a push for them to get over 800K.

So yes it can go down.

[Arraya]

I’m no good at predicting it either. However, it is following the same pattern as last year, skyrocked above 5 Junish and came back down end of summer/fall. If last years pattern is somewhat of a predictor you may see it get close to the 4.6…

[Arraya]

I’m no good at predicting it either. However, it is following the same pattern as last year, skyrocked above 5 Junish and came back down end of summer/fall. If last years pattern is somewhat of a predictor you may see it get close to the 4.6…

[Author]

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