Dear Landlords and Investors,
The principles of leverage, supply, demand, and ROI still push appreciation. San Diego has proven to be a wise location for your investment dollars. But, don’t become complacent. Don’t lose track of why you are investing, regardless of how successful you are. Dealing with unexpected issues can make or break your business. So of course, you’re right to want to understand how the current market affects your property values. You deserve expert guidance. Here are details on what you need to know now:
Yesterday they announced the December inflation numbers. We are at an even 7%. Last month it was 6.8%. Everything is up. Interest rates are up. Real estate prices are up. Rents, food, gasoline, natural gas, goods and services, trucking, hauling, EVERYTHING is up. Great news if you are Selling!
Checked last night on the MLS and these are the lowest numbers in my 39-year career here in San Diego as a realtor. 952 single-family homes, 402 condo/townhomes are active in SD county. And only 61 2-4 unit properties. For a county of over 3 Million in population, these are ridiculously low numbers. Ok, Ok, there are always fewer properties on the market during the holidays. Right?
I was licensed here in 1983. As far as I can remember this is the lowest inventory level ever. By this time in the new year, all the eager beaver agents and their seller clients would have a flood of new listings. The holiday season is always historically low. Then the agents and their clients get back into gear. BUT not this time.
We have an interesting phenomenon taking place. There seems to be a confluence. Both Cooties-19 and economic policies have converged in 2022. We are experiencing a similar situation that occurred in the late ’60s and the ’70s. Back then we had something called the Hong Kong Flu. At the same time, we had the Fed stepping in to control runaway inflation. Does this sound eerily similar to what we have today?
The problem today is the Fed is out of bullets to fight this go-round. They cannot lower interest rates to bolster the economy anymore. Their only solution is to now start raising them in an attempt to slow the easy lending practices. At the same time, they have announced their halt to buying Mortgage-backed security instruments. Rates are definitely headed higher.
We have an inverted bell curve forming for the economy. Thinking of selling? With little to no inventory available here in the San Diego area, it is a GREAT time for you. Remember to take advantage of other investment areas. Geographically is not your only option. There are many other choices out there. They provide safe returns and still qualify for IRS 1031 approval.
- Be sure to visit our YouTube channel, San Diego Investment Property. This channel keeps you connected. We’re happy to help you navigate the income property world here in San Diego!
- Please let us know who you can refer us to. Someone you know who can use what we offer.
- Stay current with the latest real estate news and market conditions. Send your current email and phone number to lyleandlynnor@gmail.com.
We’ll set you up for monthly neighborhood market updates and a new app called Homebot. It’s a personalized home finance tool. Homebot helps you manage your biggest asset, your home!
IT’S TIME FOR YOU TO GET THE ROI YOU DESERVE.
You’ve worked hard for what you’ve earned, and you’re right to want the best experience. Be confident you have professionals on your side. We use ROI-based marketing. Rest easy knowing we use an organized system to market your property. Employing our highly targeted and proven approach like no one else is what you deserve!
Thinking of selling your property in the next 12 months? Call us today for your strategic marketing consultation at 858-218-4511.
Send us like-minded property owners you know who want to buy or sell. We promise we will take great care of them.
