“Go for it!” or “Stay Away”?
In a time when most people are telling potential buyers that they are crazy to even consider buying real estate in San Diego, others are saying, “Go for it!” So… which is it? Should buyers “go for it” or “stay away”?
Below is a smattering of different opinions. Of course many (if not all) have their own agendas which may taint their perspective, but I don’t think you can truly find an objective perspective about the San Diego real estate market.
What do you think? Now’s the time to buy?
“Go for it!”
Steve Berg, Scripps Ranch Broker: Predicts that “we will look back at 2008 and realize it was the pivot year in the cycle. We have seen more than two years of adjustment to a market that needed it. In 2007 we finally saw market capitulation, which is critical to turning the corner and reaching the next milestone – stabilization.”
Gregory Wilcox, LA Daily News columnist: Says, “Let’s dub 2008 the ‘Year of the Home Buying Opportunity.’” Cites data and other economists’ views to show that 2008 will be a great year for buyers. Claims “The best time to buy in 2008 will be from April through June.” Although along with his optimism, he also predicts continued price drops and some other bad news like buyers having a harder time getting mortgages.
Naomi Monk, Small Commercial Mortgage Company: Gives you a five-minute presentation on how to make money in the current San Diego market. Her key point is that the number of renters are increasing with the current market given foreclosures and fear to enter the market from potential buyers, i.e. making commercial properties a profitable idea.
Dennis Smith, Carlsbad real estate agent: Believes sales will drop another 10% in the next six months. However, he also said, “I think (2008) is going to be a very good year from the buyers’ perspective because they’re going to be able to buy properties at pre-bubble prices.”
“Stay Away”
“Patrick”, self-proclaimed “Reality Parser”: Title of one of his posts says it all, “It’s a Terrible Time to Buy”. Believes prices are still way off for rents and salaries. Also sites that “mass foreclosures”, interest rate increases, overuse of leverage, shortage of first-time buyers, and baby boomers that have to sell as some of the reasons why the market is going down. Claims that “The housing bust still has a very long way to go.”
Community Members, Professor Piggington’s Econo-Almanac for the Landed Poor: When someone posted about wanting to buy a property in San Diego in the near future, he was pummeled by a battery of “what are you thinking?!” posts. Responses ranged from “Surely, you’re kidding?” to even a real estate agent saying, “If I were in your shoes I would wait if you can.” The general assumption from this community is that you will certainly lose money if you buy anything before 2011.
Phil Bellante, San Diego-based Guardian Mortgage and Realty owner: Predicts we won’t see a turnaround start for four or five more years. He says, “A lot of people have talked to me about buying, but I have quite a conscience and tell them, take your time… Let’s wait until next year. I don’t want to get you something for $600,000 when I could have gotten it for $480,000.”
Recent SweetDigs Posts:
Hot Properties – San Diego East County
