San Diego is at the forefront of California’s housing sector. Demand created by the pandemic has stimulated a healthy amount of activity in La Jolla, Pacific Beach, Mission Beach and other booming neighborhoods throughout San Diego. Long-term investors and potential home buyers may find that this San Diego housing market disruption should be viewed as an opportunity rather than an obstacle.
Is San Diego a good place to invest in real estate?
San Diego’s housing market is one of the hottest in the nation. There is a mixture of owner-occupied and renter-occupied housing throughout the area. Other prevalent housing types include large apartment complexes, duplexes, rowhouses, and homes converted to apartments. Compared to the insane real estate prices that the state of California boasts, La Jolla, Pacific Beach, and Mission Beach stand out as a surprisingly affordable real estate markets. San Diego is a seller’s market. This means more buyers than houses for sale on the market. Buyers should take advantage of low mortgage rates before they trend upward to pre-pandemic levels.
Being a great place to live makes real estate investment in San Diego a lucrative opportunity. San Diego County has more than 300 parks and 40,000 acres of undeveloped open space. The city is home to Balboa Park, the world-famous San Diego Zoo, Old Globe Theatre, and various museums. San Diego is home to several colleges and universities also. You can buy multiple properties with a diverse student population and enjoy a diverse investment portfolio. The demand for property will not rise and fall based on the popularity of such schools. The housing market allows for rent to newcomers, and the influx of military that makes up a large part of San Diego’s economy.
There is no doubt that San Diego is a seller’s market with plenty of opportunities to capitalize on.
What is the median price of homes in the San Diego area?
- The median price of a one-bedroom house in San Diego County is $450K.
- The median price of a two-bedroom house is $682K.
- The median price of a three-bedroom house is $849K
- The median price of a four-bedroom house is $1.30M.
Experts are saying that mortgage rates are on the rise, and supply is very tight. With all of these factors considered, the housing market in San Diego will likely see a price decline. With a limited supply of homes in the area, buyers are often forced to compete, resulting in higher prices and quick sales that benefit the seller. The supply shortage and increase in demand for housing are likely to continue to push prices higher in the coming months.
Where should I invest?
The housing market in San Diego is a great place to invest and is only expected to get better in the future. As tech companies are looking to call this area home, prices will continue to increase for the foreseeable future. There are still affordable options in the San Diego area. Here is a list of options that you should consider looking into:
La Jolla
- Sale Price: $1,912,500
- Sale $/Sq. Ft.: $919/sq.ft
- Total Homes Sold: 19
- Sales Over List Price:53 %
- Days On Market: 16
Pacific Beach
- Sale Price: $1.4 Million
- Sale $/Sq. Ft.: $934
- Total Homes Sold: 17
- Sales Over List Price: 5.5 %
- Days On Market: 12
Mission Beach
- Sale Price: $1.8 million
- Sale $/Sq. Ft.: $1,700
- Total Homes Sold: 26
- Sales Over List Price: 34.6%
- Days On Market: 28
San Diego’s miles of beaches, excellent schools, family-friendly attractions, and mild climate make it one of America’s best places to live. Finding the best investment property in an ever-growing neighborhood such as La Jolla, Pacific Beach, or Mission Beach will be the key to your success.
