If You have 1,2,3 Million for a house why are you asking about "good public schools"? (San Diego: home sales, buyers)

[1AngryTaxPayer]

Originally Posted by eastcoastbias

I've suggested it as a resale factor. Good schools typically mean- houses sell at a premium. BUT when the market goes crazy here you can sell in ANY area of SD and turn a good profit.

The choice program pretty much changed the "good schools" dynamic as far as public schools in SD unified.

[payutenyodagimas]

Originally Posted by RosieSD

But, then again, I guess if you're buying into a gated community of million dollar plus homes, exposing your kids to socio-economic diversity may not be high on your list. (No offense to anyone!).

networking..networking..networking..networking..

[RosieSD]

Originally Posted by 1AngryTaxPayer

The choice program pretty much changed the "good schools" dynamic as far as public schools in SD unified.

Charter schools have too. (Of course, there is the caveat that in SDUSD, most of the better charters work on a lottery system).

Still, some of the charter school options in the county are excellent. In fact, the public school with the highest test scores in San Diego County is a charter school in Lakeside.

[someguy10]

I dug this up -- I find it interesting and relevant to the theme behind this thread.

4 Men with 4 Very Different Incomes Open Up About the Lives They Can Afford

[Ragnar]

Originally Posted by someguy10

I dug this up -- I find it interesting and relevant to the theme behind this thread.

4 Men with 4 Very Different Incomes Open Up About the Lives They Can Afford

Thanks for sharing this link. That was an interesting read. The companion article about 4 women was interesting too. Both give some context on the types of lives different people lead and their family/financial priorities. A couple of people alluded to it, but it would've been great if there was a question or two about their upbringing as well.

[someguy10]

Originally Posted by someguy10

I dug this up -- I find it interesting and relevant to the theme behind this thread.

4 Men with 4 Very Different Incomes Open Up About the Lives They Can Afford

As Ragnar pointed out, there is a companion article with four women:

4 Women with 4 Very Different Incomes Open Up About the Lives They Can Afford

Men: $1m/year, $250K/year, $53K/year, poverty line

Women: $1m/year, $350K/year, $80K/year, just above poverty line

[GuyInSD]

Originally Posted by someguy10

I dug this up -- I find it interesting and relevant to the theme behind this thread.

4 Men with 4 Very Different Incomes Open Up About the Lives They Can Afford

Hmmm...reading this article, and the companion piece on the four women as well, I notice that 3 of the 4 high income people explicitly mention real estate as part of their investment strategy...

[someguy10]

Originally Posted by GuyInSD

Hmmm...reading this article, and the companion piece on the four women as well, I notice that 3 of the 4 high income people explicitly mention real estate as part of their investment strategy...

I noticed that too. I believe income is just an instantaneous measure that is part of the equation to growing wealth. Income is pretty straightforward and easy to brag about, but in my opinion wealth is the ultimate indicator and unfortunately is a lot easier to fudge. For example, market investors who talk about the 1000% gain they got by buying into Apple when it was a going concern but not mentioning the complete loss they suffered on WorldCom. Or RE investors who use unrealistic current-values for properties and neglect to back out capital improvement costs. Or who fail to include maintenance, repairs, etc. in cash flow evaluations. Or don't mention the loser properties over the years. So net worth is the ultimate yardstick, but also one that is harder to accurately get to without complete access to "everything" about someone.

For the 8 sample people in the articles, not enough information is given about net worth and income sources to really determine how much of a role real estate truly plays in income and/or net worth of these people. For example, if the top-earning woman making $1mm/year has been making that for 10 years and has a net worth of $2mm (she says seven figures of net worth but is no more specific), I'm actively unimpressed. If she has put $4mm into RE and is generating $200K/year off it, I'm also not really impressed. She may be investing in RE but not very well. She'd be good at the easier first stage (earning) and bad at the harder second (turning it into and growing wealth).

[Larry Siegel]

Originally Posted by someguy10

If you make $500K, that $5k/mo payment is 17% of gross. How many people who have bought in San Diego county in the past, say, two years do you think have front-end ratios that low?

Incidentally, that is just about what tuition for two kids at La Jolla Country Day School (LJCDS) costs. Plus, that $5K/mo house payment becomes more like $3,500/mo after tax breaks while the LJCDS tuition remains $5k/mo.

Nobody who makes $500K is looking at a $1 million house in coastal San Diego. They are looking at $2 million. With rare exceptions people buy the most expensive house they can "afford."

[expatCA]

[quote=Larry Siegel;47783488]Nobody who makes $500K is looking at a $1 million house in coastal San Diego. They are looking at $2 million. With rare exceptions people buy the most expensive house they can "afford."[/quote]
Not necessarily true. Some people push the limit but many buy what they need, I will pay cash for my next home, but will not buy to the limit, as I know better. I have never done that and still made good money on the homes I have sold, even during the last downturn. I know a lot of people doing the same.