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Old 03-07-2016, 08:02 PM
 
Location: San Diego
50,241 posts, read 46,997,454 times
Reputation: 34045

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Quote:
Originally Posted by sdlife619 View Post
You seriously have to question a person's sanity when you see things like this.

Cool old home, YES, but worth it? Hell no! Watch the buyer sell it in 2 years.

That's a $150,000-200,000 home MAX. And that kitchen is horribly bland!
But, this is SD and not Texas so yes, it will sell for that. 10 years from now it will probably be 800K.
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Old 03-07-2016, 08:13 PM
 
Location: Laguna Niguel, Orange County CA
9,807 posts, read 11,134,777 times
Reputation: 7997
Quote:
Originally Posted by Ultrarunner View Post
It would be those that believe it is worth it.

The Federal Government has done a tremendous job inflating the housing market... the artificial rock bottom interest rates have driven home prices and created demand.

All those quantitative easing dollars have to land somewhere.

It is also more costly to build... everything is up... materials, labor AND all the hard cost like permits and utility hookup fees and special assessments.
There is only one problem. They inflated California, NY, etc. etc. but had far less impact on the heartland.
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Old 03-07-2016, 11:15 PM
 
28,113 posts, read 63,642,682 times
Reputation: 23263
Quote:
Originally Posted by sdlife619 View Post
That's really bad news for the average San Diegan looking for a home.

People in San Francisco and San Diego need to make the most money out of the 23 other cities, in order to afford just the Median asking price for a home! The current median price is around $450,000 in SD, and one has to make a $103,000 annually just to be able to afford the median price.

So from the looks of things and how crazy high the majority of homes that are located in the San Carlos area and throughout SD, a family would have to at least bring home over $150,000-200,000 a year to afford a $800,000 home. Umm, not everybody is a doctor or a lawyer, but a salesman, a cook, a florist, a cashier a teacher, and so on. I can't understand how these values are even determined when the people that live and work in the area most likely don't make that much a year to justify the price. So basically a once nice middle class neighborhood has turned into an upper middle class enclave. It's slowly turning into La Jolla on the hills.
It can be people trading up and rolling equity into the next home...

I did this and so did several of my friends... one bought and moved 5 times over 16 years to get his forever neighborhood... yes, I said neighborhood because the home was a trashed foreclosure but it was the right neighborhood.
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Old 03-08-2016, 06:59 AM
 
771 posts, read 835,176 times
Reputation: 824
Quote:
Originally Posted by sdlife619 View Post
That's really bad news for the average San Diegan looking for a home.

People in San Francisco and San Diego need to make the most money out of the 23 other cities, in order to afford just the Median asking price for a home! The current median price is around $450,000 in SD, and one has to make a $103,000 annually just to be able to afford the median price.
And, IMO, spending 4x or more your annual HHI on a home is insane and asking for trouble down the line. I know some people will be coming with a large pot of cash (equity on prior, etc.) but I don't think that's most people making $100K in SD.
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Old 03-08-2016, 07:21 AM
 
Location: Birmingham, Alabama
2,054 posts, read 2,566,714 times
Reputation: 3558
Seems like SoCal has more ups than downs, and these ups happen more and more often. I guess it's not just Southern either. I here stuff about the market in Bay Area too. Everyone wants to live there.
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Old 03-08-2016, 10:44 AM
 
28,113 posts, read 63,642,682 times
Reputation: 23263
^^^Either that or they don't... everyone has an opinion for sure.

One of my friends sold their modest mobile home in Concord CA and moved to Alabama... husband has a lot of relatives there and they bought a 12 year old home with a little land and outbuildings... I think it is part brick?

It's been 18 months and she really wants to come back to the Bay Area... she can't... the last 18 months have seen incredible price appreciation and she lost her low property California tax base when she sold... so her new taxes would be 4X more than what she had been paying.

For her it is the job situation... she is 55 and her husband 63

She has not been able to find anything in Alabama not even half of what she was earning and then only part time...

Don't get me wrong... they own a real home with land and lots of space... it's just not home.
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Old 03-08-2016, 12:55 PM
 
771 posts, read 835,176 times
Reputation: 824
Quote:
Originally Posted by Ultrarunner View Post
^^^Either that or they don't... everyone has an opinion for sure.

One of my friends sold their modest mobile home in Concord CA and moved to Alabama... husband has a lot of relatives there and they bought a 12 year old home with a little land and outbuildings... I think it is part brick?

It's been 18 months and she really wants to come back to the Bay Area... she can't... the last 18 months have seen incredible price appreciation and she lost her low property California tax base when she sold... so her new taxes would be 4X more than what she had been paying.

For her it is the job situation... she is 55 and her husband 63

She has not been able to find anything in Alabama not even half of what she was earning and then only part time...

Don't get me wrong... they own a real home with land and lots of space... it's just not home.
Presumably they could rent, couldn't they?
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Old 03-08-2016, 01:19 PM
 
9,525 posts, read 30,465,926 times
Reputation: 6435
I bought a 450k home on a 110k income, just had to put a bunch of cash down. My mortgage seemed like a huge number at the time but now it's downright cheap!
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Old 03-08-2016, 01:21 PM
 
Location: Santaluz - San Diego, CA
4,498 posts, read 9,381,074 times
Reputation: 2015
Quote:
Originally Posted by T. Damon View Post
More amazing is what they are getting.

https://www.redfin.com/CA/San-Diego/...2/home/5821133
Down the street from me- 95 year old, major fixer 1200 s.f. bungalow, gut job kitchen and bath (that's one bath), questionable foundation, crappy Jalousie windows needing replacement (that ain't cheap!- if you do it right), tiny, 4000 corner lot with no garage or even garden to speak of.
Sold for $65k over asking at $625k!
You just crack open your wallet at that house and $200k are sucked out before you know it! And then you still have a tiny house and yard, albeit now fixed up.

Crazy!

Hey T. Damon. Good to see you. Wow, that's INSANE that they can get that for that type of house. Wow. Kudos to the owner that they were able to get that. Nuts, IMHO.
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Old 03-08-2016, 01:23 PM
 
Location: Santaluz - San Diego, CA
4,498 posts, read 9,381,074 times
Reputation: 2015
Quote:
Originally Posted by Ultrarunner View Post
^^^Either that or they don't... everyone has an opinion for sure.

One of my friends sold their modest mobile home in Concord CA and moved to Alabama... husband has a lot of relatives there and they bought a 12 year old home with a little land and outbuildings... I think it is part brick?

It's been 18 months and she really wants to come back to the Bay Area... she can't... the last 18 months have seen incredible price appreciation and she lost her low property California tax base when she sold... so her new taxes would be 4X more than what she had been paying.

For her it is the job situation... she is 55 and her husband 63

She has not been able to find anything in Alabama not even half of what she was earning and then only part time...

Don't get me wrong... they own a real home with land and lots of space... it's just not home.
LOL. No offense to anyone living in Alabama but what in the world drove them there?! Yikes. That's quite an extreme and culture shock moving from the Bay Area to Alabama.
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