San Diego’s real estate market was one of the fastest growing housing markets for two decades. The last two years have seen it slow down. What does this mean for people who want to buy a house in the city? Moreover, is the San Diego real estate market now affordable for the average American family?
What Goes Up Comes Down
It is almost impossible for anything, particularly the housing market, to maintain a meteoric rise. Eventually, things need to cool down, and right now, it looks like San Diego is accommodating this trend. Homes are now taking an average of 25 more days to sell. This gives potential buyers more time to think, plan, and decide if the houses and mortgages are right for them. Even more, even though San Diego’s market is slowing down, the prices are still high in comparison to annual incomes.
San Diego Real Estate Market Basics
The market is rising a little more slowly than it has in previous years. For example, the housing prices rose by 6.2% in 2018, and in 2019, the expectation is that the rise will be 4.3%. Additionally, over 20% of the homes for sale had a price cut in January 2019, as opposed to 12.4% last year. However, those who want to buy homes in San Diego still need relatively high down payments. Anybody who wants to buy here should prepare for that.
Is It a Buyer’s Market?
This depends on what you are expecting. After all, the median price of homes that are listed in San Diego County is $639,000. In contrast, the median price of homes that are listed in the U.S. is $279,000. So, the home prices in San Diego County are still a long way from reaching the home prices for the rest of the country.
