San Diego Real Estate Market-- It's getting "better"!

Good news for the San Diego real estate market is causing frustration for buyers-- Summer has shown a positive change in the housing market and prices are turning. On par with the season, with beach congestion, tourism has brought more buyers to our city which is great for our economy and real estate but it is causing buyers to frequently be "outbid" on purchases. Almost all [detached] houses priced under $300k are being sold with many offers for over asking price.

Buyers whom 3 years ago could barely afford San Diego's condo market have recently become able to purchase a detached house and a year ago could still "negotiate" the offer and price. Yes, the bulk of these sales were/are foreclosures and short sales but in the past few months low-ball offers have become a thing of the past. Sellers are under-pricing listings, allowing the buyer pool to bid up the price and determine the actual value in the property.

Conservative loans and government loans (FHA) are also restricting owner-occupied buyers from purchasing homes that need a little TLC. Cash buyers and large-down conventional purchasers are scooping up all the small fixer houses because strict loan requirements make a house with excessive peeling paint [etc.] un-loanable.

It is still a great time to buy but buyers need to be confident in their purchase, know the comps and write their offer aggressively.