If you’ve been paying attention to the San Diego housing market for over a decade, you may be anxious that the 2021 housing market is almost too good to be true and is going to lead to a crash just like in 2007. But there are many key differences that separate this market from the one that triggered the 2007-2008 recession. Here are three of those differences that reveal it should be safe to look for Ocean Beach homes for sale.
Much Lower Inventory
Inventory is shockingly low in 2021. While inventory has generally been on the decline in the last several years, it’s hit an all-time low in 2021. Even if inventory goes up 10%, 20%, 30%, or more, the inventory will still remain very low. Unlike in 2005, low supply and high demand have naturally led to higher prices.
Increased Loan Options
Back in 2004 and 2005 when the market was taking off before the crash, borrowers had more limited options for loans. Most loans had prepayment penalties. Riskier loans that had no income, asset, or employment verification were vanishing. Today, however, borrowers have more financing options when they decide it’s time to buy a house. Whether you qualify for a VA loan and want to put zero down, you qualify for a conventional loan and want to put 3% down, or you qualify for a jumbo loan with 10% down, there is no shortage of options to serve every kind of buyer.
More Qualified Buyers
Even the buyers are different in San Diego today than they were ahead of the 2007 recession. With more people having migrated to San Diego in the last decade, there are more people who have equity in their homes and have decided it’s time to upgrade to something bigger and better. People are also continuing to move into San Diego from surrounding areas. All of this adds up to plenty of qualified buyers.
Start Your Looking for Ocean Beach Homes for Sale with the Horton Realty Team
Hopefully, this information puts any concerns you might have about the current market to rest. If you’ve decided that now is the time to make your real estate move, the Horton Realty Team would love to help you! Get in touch with our Ocean Beach real estate agents today!