Here's something you might be interested in.
The New York Times has a piece today (May 10) stating that San Diego home prices are still "bubbly." Thus, renting a home is a better option than buying, according to the Times. This is based on the rent ratio, or the sale price of a house divided by the annual cost of renting an equivalent house. If the ratio is under 15, as it is in such metro areas as Atlanta, Los Angeles, Phoenix and Las Vegas, it may be time to buy. But in San Diego, the ratio is 22 because home prices are high, according to this ratio. The ratio is 29 in Manhattan and above 30 in Silicon Valley and the East Bay. So don't buy. (On the other hand, housing prices seem to be going into a double dip and San Diego is no exception. So in my opinion you might be smart to wait to buy.) Best, Don Bauder
The New York Times has a piece today (May 10) stating that San Diego home prices are still "bubbly." Thus, renting a home is a better option than buying, according to the Times. This is based on the rent ratio, or the sale price of a house divided by the annual cost of renting an equivalent house. If the ratio is under 15, as it is in such metro areas as Atlanta, Los Angeles, Phoenix and Las Vegas, it may be time to buy. But in San Diego, the ratio is 22 because home prices are high, according to this ratio. The ratio is 29 in Manhattan and above 30 in Silicon Valley and the East Bay. So don't buy. (On the other hand, housing prices seem to be going into a double dip and San Diego is no exception. So in my opinion you might be smart to wait to buy.) Best, Don Bauder