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Old 08-02-2008, 07:37 PM
 
12 posts, read 19,985 times
Reputation: 12

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My wife and I are considering a move from a the Midwest to SoCal. My business is taking me out West.

We are both professionals...both with degrees from well-respected Universities and both with Masters Degrees. We have 2 small children, so my wife works part-time. We have a combined income of about $140k. We currently live in a very nice suburb, 2200 sq ft, 4/3 home, which we could probably sell for around $300k.

Don't get me wrong, I love SoCal and I'm very excited to live there. I understand that I am not going to get the same house for the money. But we cannot figure our how anyone can afford mortgage payments out there? Looking at the demographics, SD County's median household income is approx $80k. How does someone making $80k afford a median priced house [$600-700k]?

Please...someone give me the secret!
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Old 08-03-2008, 12:05 AM
 
Location: San Diego CA
1,029 posts, read 2,481,675 times
Reputation: 608
Look in zip codes 92154
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Old 08-03-2008, 02:54 AM
 
240 posts, read 888,923 times
Reputation: 105
Quote:
Originally Posted by kittensmashr View Post
How does someone making $80k afford a median priced house [$600-700k]?
Who told you that the median price is $600-700K? Even in 2005, I don't think the median was that high.

The median price for a house/condo is now under $400K.

HousingTracker.net: Median Home Asking Price & Inventory Data for San Diego, California
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Old 08-03-2008, 10:04 AM
 
253 posts, read 1,332,133 times
Reputation: 139
Quote:
Originally Posted by kittensmashr View Post
Please...someone give me the secret!
Rent. There's no obligation to buy into a (still) inflated market. The American Dream is financial independence, not home ownership under conditions that make you a life-long serf...and still a renter anyway, as you are paying rent to the government in the form of high California property taxes.

In fact, that should be the state's new slogan: "California - a great place to rent."
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Old 08-03-2008, 10:08 AM
 
786 posts, read 3,923,847 times
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Quote:
Originally Posted by RandalR View Post
Rent. There's no obligation to buy into a (still) inflated market. The American Dream is financial independence, not home ownership under conditions that make you a life-long serf...and still a renter anyway, as you are paying rent to the government in the form of high California property taxes.

In fact, that should be the state's new slogan: "California - a great place to rent."
Yes but even rent is more than the average mortgage in the Midwest. When we moved from OH to CA, our rent was about double what our mortgage payment was.
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Old 08-03-2008, 10:36 AM
 
256 posts, read 736,133 times
Reputation: 146
You can find nice homes now in the 400's. Also, you will be making up a huge difference in utilities. You won't have huge heating bills out here. I have family in Ohio spending 300-400 a month on gas and that is not including electricity. Services are less expensive here as well as food. Their are a lot of people living here. It is a very densely populated area. I am sure not all are living on as much income as you.
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Old 08-03-2008, 04:39 PM
 
Location: Point Loma
26 posts, read 84,778 times
Reputation: 13
Well, expectations are different, too. I just purchased a house in Point Loma, and while it's a dream for me to be .5 miles from the Ocean, it's about the size of my old condo in Fashion Valley (1200 sq ft). However, I don't need the heater air conditioning year round, and we managed to fit nicely in this 3 bed, 2 bath house, even with a toddler (and respective kid/baby stuff). Um, our two-car-garage is a bit full, but we'll clean it out eventually.

I grew up in Oregon and always pictured myself in the big suburban house in which I grew up. Yes, I could probably purchase one of those for what we paid for our tiny house here, but we sacrificed space and amenities for other priorities, and to us, it's worth it. Maybe it's not for others, but we adore living here: perfect weather, great community, fabulous schools.

Good luck to you. Mortgage industry standards have really tightened up, but with your income and a large down payment, you should be able to find something, although you'll have to go more North or Inland to find similar housing as your Midwest diggs.
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Old 08-03-2008, 08:27 PM
 
Location: Paradise/Las Vegas
1,658 posts, read 7,573,601 times
Reputation: 422
I live............pay check to pay check and not enjoying it!!!
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Old 08-03-2008, 09:29 PM
 
Location: San Diego, CA
387 posts, read 2,130,845 times
Reputation: 189
I rent. Not quite ready to buy anything right now. It's certainly not cheap, but the man and I live a pretty simple lifestyle. No kids, either. It can be tough, but the sacrifices we make are worth it to us I love living in SD!

Oh, and as somebody mentioned, utilities aren't expensive out here.
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Old 08-04-2008, 05:50 AM
 
Location: Town of Herndon/DC Metro
2,825 posts, read 6,890,118 times
Reputation: 1767
Quote:
Originally Posted by kittensmashr View Post
Looking at the demographics, SD County's median household income is approx $80k. How does someone making $80k afford a median priced house [$600-700k]? !
You know, I never figured that out either. I know very few people who owned homes. There are a couple of people who are owner occupiers in SD. They either A-have money from very well paying businesses they are running or B-inherited their home and because of Prop 13, barely pay any tax on it or C- are house rich cash poor elderly (widowed 80 yo living in 3 bed ranch homes.). B and C have no money for upkeep of their homes either. D- They bought in the 90's when you could get a 3 bed ranch home in San Carlos for 250K. E-They are 3 couples or a couple and 2 brothers, etc (group of family members) who bought a home and use every room as a bed room, then convert the garage into the living room (neighbors in Grossmont).
Almost everyone I%2

Last edited by leighland; 08-04-2008 at 06:13 AM..
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