The MDS Dataquick reports continue to show an unprecedented gloomy outlook for San Diego’s housing market.  Although home sales in December 2008 were 34.7% higher than home sales in December 2007, a full 50.4% were foreclosed on during the past year.  The foreclosure figure for December 2007 was 30.3%.

Foreclosures are pressuring the market, resulting in a glut of homes available, and pressure on prices.  This is particularly apparent in the new homes sector, which includes condos.

With continued tightening of credit, the sluggish pace of sales is not expected to end soon.  It looks like there are going to be a lot of homes on the market for longer periods of time, until the inventory clears a bit.

However….

If you are looking to buy a home, and are well qualified with good credit, and solid income, there are opportunities for you in San Diego that did not exist previously.  Look at the positives – San Diego is a beautiful city in a prosperous area.  You live here, you work here.  Even if prices continue to drop, buying a home for the long term sure beats renting.  It is a buyers market right now, which give you a lot of leverage in negotiations and choices.

What type of condo you buy will depend if you are buying a home or an investment property.  If you are buying a home to keep for the long term, look for good buildings that are well maintained, and primarily owner occupied.  This tells you that there is stability, financial and otherwise, in the building’s community.

To find the San Diego condo that is right for you, search our site.  Contact us, we can certainly give you advice and assist you. Remember when you buy with CondoDomain in San Diego you save thousands via our commission refund business model.  On average our clients get back more than $10,000 cash back at closing!  (Learn More)