San Diego Real Estate … Time to Buy?

As San Diego home values plummet. The industry and almost all media outlets are proclaiming  “It’s the time to buy! “  But, keep in mind  this is almost an exact reply of the ‘news’ that was being proclaimed last year, and two years ago, and three years ago etc. Why, even in  2006 after the downturn was well under way,  the ‘Indusrty’ line was  “It’s a normal pull-back, creating a great buying oppurnity.”

Lot’s of flippers and investors were buying all through 2007. They are in deep trouble right now. Look at the graph below which we originally published on 9-26-09.

San Diego home prices

It may be that San Diego home values need another 10%-20% drop before a real bottom is reached. In a depression, home value of homes could fall 50% from where they are today. At least, that’s what happened in the great depression.

It is very tempting to rush out and buy investment properties. But it seems it’s still too early for that.

Chula Vista real estate