Are you still wondering when the right time to buy a house or condo in San Diego is going to be? How does “NOW” sound? or “Tomorrow and every day that passes could most likely mean that you lost the train? and this time “loosing the train” doesn’t have the same meaning as when you heard it 4-5 years ago during the so called “real estate bubble”!
Existing home sales in the San Diego County, in number of units sold, are forecasted to be at their highest level since 2005 and bank owned (REO) homes seem to be sold as fast as they come on the market with multiple offers, most way above the list prices. Today there are 38% or 10,000 less home listings in the San Diego MLS database than there were just a few months ago (seems like yesterday)!
As you can see on the chart above the current Housing Affordability Intex is at an all-time high at today’s low interest rates combined with the low home prices, which means that more people can afford to buy a home today than ever.
Median homes prices have been steadily rising since March when in my opinion San Diego home prices hit the bottom at $175,750 for condos and townhomes and at $325,000 for detached homes. Median prices in San Diego on existing home sales that closed escrow in July were $210,188 for condos and townhomes and $371,000 for detached homes. Please note that homes that closed escrow in March were actually sold in January or February and homes that closed escrow in july, were actually sold in May or June.
The best values can still be found among the bank owned (foreclosure) properties in San Diego, but seeing the number of offers that these type of homes are receiving as they come on the market, I believe that the longer you wait for the home prices to further fall, the more you’ll end up paying for your home!!!
The time to buy a home in San Diego was yesterday… What are you waiting for?