Home Buyers San Diego

 

San Diego home Prices

7% of San Diego households could afford to buy a median priced home in late 2006

As the housing bubble inflated amazingly earlier in the decade, only 7% of San Diego households could afford to buy a median priced home, says Kelly Cunningham, economist for the National University System Institute for Policy Research (http://www.nusinstitute.org/).

Now that the bubble has burst, 51% of households can buy a median-priced home (late 2010).

However, San Diego is still the 12th least affordable housing market. San Diego home prices are back to where they were in 2003, and adjusted for inflation, are back to 1999 levels, says Cunningham. If the current trend continues, "home prices are likely to stay below former peaks for another 8 to 10 years," says Cunningham. "Adjusted for inflation, prices may never reach previous highs without an unprecedented and unexpected rise of area household incomes."

Cunningham's new San Diego Economic Ledger has just been published by the institute.

 

Trulia shows trends in median home prices in San Diego: Areas like Kensington beat the trends:

  march 09 march 09 1 year ago 5 years ago
San Diego $330,000 $270,000 $365,000 $403,500
         
Kensington $561,000 $645,000 $665,000 $655,500
         
Normal Heights $200,000 $159,530 $300,000 $306,000
         


Elements which effect the Home Price :

Interest Rates

November 2010

  Loan/ Value home   Rate APR
ING 5/1 Orange Mortgage Years 1-5
Fixed Rate - 0 points
80% or less < 500K 3.125% 3.269%
Wellsfargo 5-Year ARM - 1 point 80% or less < 417K 2.875% 3.126%
Wellsfargo 30-Year Fixed - Jumbo 80% or less > 625.500 4.875% 5.012%

August 2009

  Loan/ Value home   Rate APR
ING 5/1 Orange Mortgage - no points 75% or less < $500K 4.500% 4.098%
    > 500K 5.000% 4.284%
Wellsfargo 5-Year ARM - 1 point 75% or less < 697.500 4.50% 4.071%
    > 697.500 5.250% 4.353%

Rates are based on Excellent Credit Score