Will the layoffs reduce house prices in the San Diego area?
55 replies (most recent on top)
Anonymous122148,
Location, location, locaton, location, location. And idiot, if that really happened, you wouldn't ever want to buy in san diego. And that's never going to happen? Why? Simple... Tourism and Retirement in SD. You really are clueless.
Anonymous122129,
I own the 8 plex apartment complex...Thank you for asking
We are like Dearborn MI in Year 2001. Invincible. Homes @ 650K. Year 2005-2008 , homes available @90K. Its a slow bleeding game, when we achieve margins/growth thru "right sizing" measures.
Anonymous122129 will be living in an apartment outside of San Diego while his wife continues in her career her in San Diego.
I for one hope real estate prices correct. That way, I can buy even more rental properties, and shut many of you uber-bears that will only buy when prices go below 20+%, like I did in 2008. And then with me having more homes, and you still not being able to afford to buy, I can continue to raise your rent prices....
Why do you clueless people keep discussing real estate on a non-real estate blog? If you really want to discuss real estate, go join one of the SD real estate blogs where we talk about real estate all day....Including the reasons why the bubble of 2008 crashed and while we aren't in a bubble right now... Sheesh...
Anonymous122135 he lost his shirt, only owned home
I call bullshit on you buying a home in 2008 or 2012. If you bought in 2008, you're well over positive equity and your cash flow is more than sufficient to cover rent and still have a decent ROI (better than the stock market).
Anonymous122129 your justification highly irrelevant. Housing price depends supply and demand, lot of people bought home in last three years, I bought one 2008 and second one 2012. I have to sell one of them because of the impact. Lot of people like me will sell their second home, lot of people even their first home. When uupply exceeds demand price will go down. so expect reasonable price to go down like 10-12%. I don't have a college kid yet I am still young, therefore my brain is still working.
Anonymous122129... Bigger question is.... Will you be working and living in San Diego to enjoy the home you described.
Think about the impact - Qualcomm has 13K employees in SD. Almost all of them have working spouses, most of them professionals. Most of the folks bought long time ago and refinanced at super low rates. Think about the impact now, financial solid folks, in houses purchased cheaply, awesome LTV ratios, strong second income, super strong rental market (it has never been stronger) and houses can rent in no time - why would anyone sell at a loss? I can tell you my personal situation, we bought in 2000, it's two of us, my wife is a CPA (~180K/year), 1 kid done with college, the other one almost done. I am at around 220K. The house cost about 400K in 2000, its about 1.3M now, I have roughly 200K in loans left. Why in the world would I want to sell under 1.3M is beyond me. I am not going to into my financial situation details but I can tell you one thing - I am comfortable enough to ride out any 5%, 10%, 20% or 50% downturn you are imagining here. I have dozens of friends in the same situation - I'd rather leave the house for my kid than accept a depressed price - and remember, QC is not the biggest employer around there is a TON (my wife's 200 people company being one example) healthy businesses around - folks are working, making money, etc. Do hot dwell in your pipe dream that the market is going down, save, save, save and then get into the game.
15% for sure
Yes 20% down the road atlest ....dont buy now
Anonymous122114 what are you talking about nosense
I can say maybe. If 4500 (strength of an aircraft carrier) laid-off at a time, 70% have to move out of SD. only 25-30% own homes, so around 700-800 houses will come for sale over three months, SD easily absorb that with small 5-6% price reduction in housing price, especially not many buyers during October to February.