The real estate climate in San Diego has been experiencing resurgence in recent years as evidenced by the various opportunities that investors can take advantage of in San Diego. If you are thinking of investing in real estate in San Diego, it would be helpful to take a look at the statistics that are indicative of the performance of the real estate sector in San Diego, this information can be very helpful in making your investment decisions. 2005 performance In 2005, the average appreciation of the value of houses in San Diego reached 7.5 percent, and the average price for a home was $575,000 as compared to only $225,000 in 1999. This number is quite high given that the appreciation rates of homes usually hover about one percent higher than inflation. For this period, inflation was only at 3 percent, which attests to the fact that real estate in San Diego has been experiencing a boom. For condominiums, the average price increased to 7.8 percent, which now stands at $385,000. It is quite evident that real estate prices have risen well above national averages, which means that investors should get in the market so that they can take advantage of the trend of increasing real estate prices. Forecast for 2006 For 2006, it is estimated that the average price of homes will further increase by 5 to 10 percent and sales will remain stable. Mortgage rates are also estimated to remain stable at about 6.5 percent, which is favorable for buyers and investors since a stable interest rate will reduce the risks involved in financing a real estate purchase. Given the bright prospects that the San Diego real estate climate has in the near future, it can be beneficial for investors to explore opportunities in the county. They can do so by getting the right information as to the performance and trends of the real estate market in San Diego. They can also get information from other sources such as newsletters from realty associations as to their assessment of the market in San Diego. |
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