2020 San Diego real estate forecast
2020 San Diego real estate forecast
One real estate data firm is projecting a 5.6% appreciation for San Diego real estate in 2020. Personally, considering the fact that our San Diego housing prices have already seen some great appreciation, and depending where you get your data from, the average single-family detached San Diego home is currently $635,000 and the median San Diego detached single-family home is $693,959, these already lost the high single-family home prices will tend to slow down future appreciation just because the average San Diego incomes are making it very hard to qualify for these high mortgage amounts even when putting the traditional 20% down.
All things considered; I personally think that 20/20 will see single-family detached appreciation somewhere near 3% for the year! I understand many may not agree with my forecast for 2020 San Diego home appreciation, and that’s fine. Really, these forecasts are always hit and miss because so many economic factors combine to affect residential real estate appreciation. Sure, if someone would ask me exactly what the appreciation rate was for in a specific neighborhood, for the past 36 or one year, I’d be able to give them a pretty precise number. Yes, the reason for this is because that history, when looking into the future, as they say in the stock market, past results do not indicate future outcomes.
2020 San Diego real estate forecast
2020 San Diego real estate forecast
Another thing to keep in mind, especially if you think my prediction of a 3% rise in appreciation for San Diego real estate in 2020, is too modest, I would have to ask where are you currently getting a better return for investing your money? Sure, some people don’t look at a home as an investment, but in my opinion that’s a mistake. Here in San Diego, and Southern California in particular, I think one must always look at your own home is not only a place to live in and raise your family, but as perhaps one of the largest investments you will ever make in your lifetime.
10Ac property listed & sold by Bob Schwartz
For argument’s sake, let’s say your San Diego home appreciates just 3% in 2020. If your home was valued at $600,000 in December 2019, that would mean that in December 2020 your home would be worth $18,000 more! Another way to look at it, is if you invest in a home now that cost $600,000, and it appreciates 3% for 2020, you would have a gross return of about $1500 per month, all the while living in your investment!
Naturally, the above are just my personal opinions and before making any real estate investment you should always consult with your accountant and personal financial advisor.
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*** This 21 year old San Diego real estate is for sale! Also, aged real estate sites in many California cities are for sale.
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