6 Comments

1. 

   Shadash on February 10, 2023 at 8:40 am

   $90221 is 20% of $451105
   $90221 is 5% of $1804420

   $451105 with a 20% down 30yr fixed is $2152 + prob around $500 per month in taxes

   $1804420 with 5% down 30yr fixed is $10266 + prob $1000 per month in taxes

   This seems like a lot even for millenial DINKs both with good jobs.

   This same thing happened in Japan in the late 80s. (Home price inflation) People responded by delaying having kinds + many couples just didnt have kids. Now that mindset is culturally approved + they have a declining population.

2. 

   B on February 10, 2023 at 11:34 am

   Millennial family with, one kid, income of 220k, and saved so far 150k for a downpayment. We’re priced out of the market currently and considering moving out of state. If anyone thinks this is sustainable, lol.

3. 

   Joe on February 10, 2023 at 2:15 pm

   Coastal San Diego County is now a “fortress”. Once you’ve bought into this area, there are very very few reasons to move away, period. Expect low inventory for years to come. Prices will be much higher here in 10 years, you can bank on that. Much of the bay area is >$1,000/sq.ft., while this area still has tremendous value compared to up north. There are many people around the country that would die to live here in coastal SD county, many sell their homes to create a down payment and make it happen (you will see license plates from nearly every state here). It’s a hard reality for many would-be buyers to stomach. If you’re serious about moving here, save up a down payment and get creative with the financing; you will spend a large portion of your income on the house in the beginning, but years down the road with inflation, the pain will decrease.

4. 

   Gattopardo on February 10, 2023 at 7:22 pm

   B,

   I’m a housing bear, have been for too long to remember. I thought this sh*t was unsustainable in 1992. Guess what? We all look at this stuff through our personal lenses. What you think is crazy pricing (“how many can possibly afford this??”), actually isn’t to many others. And based on the last couple decades, LOTS of others. We always think everyone else has constraints like our own. Nope!

   “But but but the median income can’t afford the median home!” TRUE. But the median buyer is WAY wealthier than the median income family.

5. 

   Khurana on February 11, 2023 at 8:41 am

   B,

   I agree with Gattopardo. San Diego is like any other world class coastal city except that we can not build vertical towers here, plus it has this nice weather.

   I had been complaining about these prices for past 20 years … but now I realized that there are actually far more people who want to move in here than the people who want to move-out.

   For the last full decade, every year, I have been hearing about that U-Haul Truck statistics, about how so many people moving out and so few people coming in … but guess what, Traffic on I-5 (and 405) is still same or worst.

   Even with more than 3 full recessions (market cycles) in past 20 years, I have been seeing the same house selling from 500k to 1M and now more than 2M.

   We are probably making more Millionaires who want to move to/live on San Diego Coast than the available coastal homes for sale here. Median-Income does not matter.

6. 

   Jim the Realtor on February 11, 2023 at 8:56 am

   We are probably making more Millionaires who want to move to/live on San Diego Coast than the available coastal homes for sale here. Median-Income does not matter.

   Yep!