[flyer]

The federal government is now stepping in to regulate water cuts. For now, only AZ and NV are effected, but CA may also eventually be on the chopping block.

I know San Diego is in a better position than most areas of the state, so it will be interesting to see how it all plays out for us, locally.

https://calmatters.org/environment/2022/08/colorado-river-water-california/

[flyer]

[quote=gzz]Flyer while I don’t think it is a great time to get a new SD investment property, buying to live is still pretty attractive.

Rents are still soaring with very low vacancies. The inventory and sales rates seem to be trending toward the 2016-2019 milder bull market levels. We obviously weren’t going to have 0.2 month MLS inventory and 35% YoY pricing for long.

The cost to own here is basically the 4.5% interest, 1% tax, and maybe 0.3% for everything else like insurance.

So about 4800 all in cost per month for every million of value. Roughly rental cost. For every 1% appreciation, that’s 10k a year or about 800 a month of reduced cost. A mild 3% appreciation thus means the effective monthly cost to buy a million of SD RE is only about 2300, far below rental cost.

I think oil stocks are an even better investment however. I just can’t live in XOM and TTE.[/quote]

I agree that for you, buying now, especially with the needs of your family, is a good decision. You’ve done your research, and you know it falls well within your financial parameters, so it should be a win for you. That may not be true for everyone, so I hope others who are stretching their limits to buy now are being cautious.

Also agree that we would not be buying any more investment properties now. Actually haven’t since The Great Recession, when it was a great time to add to our portfolio. At that time, we had a chance to cut some fantastic deals when others weren’t, but, unless there is another extreme downturn, we really don’t need to look for any more properties.

Enjoy your new home!

[flyer]

Fantastic posts from Phaster, Josh and Scaredy, and, for the most part, my sentiments, exactly. Regardless of how complex the analysis, and however brilliant we believe ourselves to be, it all really boils down to this summation, “Civilizations and empires, in the end, are just ripples in the ocean of time.”

[flyer]

Probably another reason you made a good choice, gzz. Per the 60 Minutes article below, as we all know, most southwestern states are in trouble by varying degrees when in comes to water, but UT and AZ seem to be in a particular danger zone when it comes to water.

Apparently, the laws governing water rights to the Colorado River were made decades ago, when there were no drought concerns. Some states, like UT, which have been overbuilding, etc., now want to claim their additional rights to the water in a river that is running dry, but to which they are entitled, and have never before claimed. It will be interesting to see how this apparent legal battle plays out, especially since it will be a matter of survival, albeit transitory, for all concerned.
https://www.cbsnews.com/news/colorado-river-water-level-60-minutes-2022-08-14/

[flyer]

Agree, life is definitely transitory for everyone whether they like it or not. Another reason to live the life you really want to live everyday, because no on really knows how long they’ll be here–so enjoy now!

[flyer]

Yes, Chino Farm is great, along with a few other places we like. So glad to have so many great options available.

[flyer]

That I could never do.

We eat tons of fresh salads, soups, breads, pizzas, casseroles, and veggies along with some meats, fish, eggs and other great foods, including oatmeal. My wife especially loves doing fantastic desserts–with everything fresh and homemade. When not dining out, we’ve been eating like this since the kids were young–all while still staying fit–but definitely best to enjoy foods that suit you and your family.

[flyer]

Like most people, love finding all of the best deals on everything, and since it’s so simple to make comparisons on merchandise, credit cards, etc. we probably haven’t paid full price for much of anything for decades.

As far as food goes, we’re definitely foodies with gourmet tastes, and the sky’s the limit, whether at home or when traveling, while still maintaining a healthy lifestyle. Our kids were introduced to nutrition and fine dining at an early age, and have carried both on in their lives. It’s definitely possible to strike a balance between the two.

[flyer]

Agree, lots of memories. Sol Price was a friend of the family. Lots of people thought it wouldn’t fly, but my parents took their chances, and it worked out. So many great people helped build this city, and to have known them and their families as a kid, and as lifelong friends, along with the history they made, has been very interesting. Nice to see how San Diego has evolved, but the good old days were also fantastic here.

[flyer]

I honestly think most of us have chosen easy handles that we feel are a small representation of who we are, as EP has done, and I’m sure most of us would be qualified to add many layers to those names, if we wanted to, just as you mentioned.

Concerning your Uber survey. It’s very interesting that you’re seeing such diversity in the people visiting and those trying to make it in San Diego. As natives, our family has seen this for years among the newbies. Talk is cheap, and lots of people come here with big ideas, but not all seem to last–especially when it comes to their kids being able to sustain a desirable lifestyle here.

Since more seem to be coming in from more affluent backgrounds, the stats on sustaining a desirable life here long term among the newbies might improve to some degree, but it would be fun to be able to check back with them in 10+ years to see where they are then.

[flyer]

Congratulations!

I know you mentioned you had some specific housing needs for your family, including having your parents live on the property, and that’s not an easy bill to fill in this market. Glad you found what works well for all of you.

Everyone has different tastes and needs, so, it doesn’t really matter what others think. There are some areas people diss–that I kind of like–and other areas people rave about–many of which are areas I would never consider living–so it all boils down to individual needs and preferences. Keep RSF in mind as time goes on, because there are some properties around us that would be perfect for your needs.

When all is said and done, life is short, so simply enjoy!

[flyer]

I’ll vote RSD, since it sounds like gzz has found what he really wants there. My tastes are much different, especially when it comes to location. You can always make changes to the physical building(s), but, location, not so much. The main thing is that it fits the bill for gzz, and that’s what really matters.

[flyer]

It seems whatever may be going on with out-migration from San Diego will be eclipsed by in-migration.

Per the article below concerning various apartment projects, not to mention countless other new home, condo and apartment builds in PQ, Poway, Sorrento Mesa, etc., etc. it appears that we need to build 17,000 units PER YEAR, just to keep up with demand, and we are no where near that number. Also, don’t forget many of the thousands of apartment dwellers aspire to be homeowners one day.

The rest of CA wrt housing may tell a different story, but, from a real estate perspective, San Diego seems to be looking good well into the future.

https://www.10news.com/news/local-news/massive-housing-developments-to-open-around-county

[flyer]

gzz, totally understand that you want acreage. We felt the same, but, 20+ years ago in San Diego, we were able to choose a home that has acreage and is still city and beach close. If I were making that decision in today’s market, and, if I had to make a choice, I’d probably pass on the rural acreage in order to continue to accommodate our lifestyle.

That said, it sounds like you’ve checked all of your boxes, so I wish you the best, and I hope it all works out the way you’ve envisioned.

[flyer]

Great to see these developments, and more proof that our primary and rental investments will be looking even better as time goes by.

[Author]

Posts