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Updated 11 months ago, 01/02/2024
San Diego - Where to look?
Hi There!
My fiance and I are looking to buy a SFH as well as an investment property in San Diego. The only issue we have run into is the prices and bidding wars.
Every single home we have looked at for personal use or an investment seems to have 5+ offers and go MUCH over asking.
We are currently looking at Bay Park / Clairemont / Carlsbad / Oceanside.
I am curious if anyone has had success in other areas let me know.
We are thinking of relocating as it looks like there is no end in sight for this.
Hey @Ryan Cousins, yes I have success helping my clients purchase properties in those areas. You are correct, most properties list accordingly will have multiple offers in this market. I try to instill in my clients, list price should not get confused with sales price, and is not the asking price. List price can be more look at, the marketing price. I subscribe to the strategy to list a property to get the most attention to the listings. For example a price below where I think it will sell for, attracting more Buyers, but not too low where I'm doing unnecessary work filtering out Buyers who don't understand the market conditions. When representing Buyers my goal is to explain why properties are listed the way they are, and where I think the property will trade for, or sale at. Also keep in mind, terms other than price will play a role in getting you offer accepted too. Hope that helps, feel free to reach out with anytime with questions.
@Ryan Cousins It is a very competitive market especially in those neighborhoods. I can suggest some other areas as well depending on where you guys are looking. hang in there.
- Twana Rasoul
Quote from @Ryan Cousins:
Hi There!
My fiance and I are looking to buy a SFH as well as an investment property in San Diego. The only issue we have run into is the prices and bidding wars.
Every single home we have looked at for personal use or an investment seems to have 5+ offers and go MUCH over asking.
We are currently looking at Bay Park / Clairemont / Carlsbad / Oceanside.
I am curious if anyone has had success in other areas let me know.
We are thinking of relocating as it looks like there is no end in sight for this.
@Ryan Cousins I'm in the same boat looking at SFR's. Oceanside seems to be the only reasonable market of the ones you listed. I'm hoping to get into Bay Park/Clairemont but haven't had any luck. I'll keep you updated as I continue my search but good luck!!
I agree that between Oceanside, Carlsbad, Bay Park and Clairemont, Oceanside will be the most reasonable market. I was in Bay Park / Clairemont a few days ago to look at a trust sale fixer. There were about 25 people there. We made an offer 50K above list price but still didn't get it. Keep looking, and Good Luck!
Advice.....For SFH Just accept there will be competing offers for any decent property in those areas. If you want less competition you will need to get property that is more distressed (and you will still have to pay up over the flippers who want those), or you will need to search when no one else is searching.....ie both of my SD properties were purchased between Thanksgiving and Christmas (when everyone else is celebrating you need to put in offers). Other than that its just a numbers game....every X offers gets you Y contracts....go find the numbers.
Quote from @Ryan Cousins:
Hi There!
My fiance and I are looking to buy a SFH as well as an investment property in San Diego. The only issue we have run into is the prices and bidding wars.
Every single home we have looked at for personal use or an investment seems to have 5+ offers and go MUCH over asking.
We are currently looking at Bay Park / Clairemont / Carlsbad / Oceanside.
I am curious if anyone has had success in other areas let me know.
We are thinking of relocating as it looks like there is no end in sight for this.
After doing quite well in the CT market space, I’m finally starting to adjust to the Ca market.
I think it’s key to be in the know about off market deals, for both your primary and investment.
From what I gathered thus far as an agent, a lot of trading goes on behind the scenes. My best advice would be to link up with an agent with access to some off market inventory. Contact wholesalers and maybe do some digging of your own via driving for dollars.
I’m in the La Jolla area, but service all your targeted locations. If you want to chat let me know!
Quote from @Gregg Watkins:
I agree that between Oceanside, Carlsbad, Bay Park and Clairemont, Oceanside will be the most reasonable market. I was in Bay Park / Clairemont a few days ago to look at a trust sale fixer. There were about 25 people there. We made an offer 50K above list price but still didn't get it. Keep looking, and Good Luck!
50k above and still didn't get it, geez
Quote from @Robert Comstock:
Advice.....For SFH Just accept there will be competing offers for any decent property in those areas. If you want less competition you will need to get property that is more distressed (and you will still have to pay up over the flippers who want those), or you will need to search when no one else is searching.....ie both of my SD properties were purchased between Thanksgiving and Christmas (when everyone else is celebrating you need to put in offers). Other than that its just a numbers game....every X offers gets you Y contracts....go find the numbers.
Nice strategies big fella.
Remember.....Now is the time for thanksgiving/christmas offers to find motivated sellers who want out by the new year.
Quote from @Ryan Cousins:
Hi There!
My fiance and I are looking to buy a SFH as well as an investment property in San Diego. The only issue we have run into is the prices and bidding wars.
Every single home we have looked at for personal use or an investment seems to have 5+ offers and go MUCH over asking.
We are currently looking at Bay Park / Clairemont / Carlsbad / Oceanside.
I am curious if anyone has had success in other areas let me know.
We are thinking of relocating as it looks like there is no end in sight for this.
It really depends what your strategy is. I specialize in STR and co-living and both these strategies work best closer to the downtown and college areas. And these areas also have cheaper homes that can be found. I have a few I have my eye on that are perfect and under 900k.
Clairemont is also a great area! North park, normal heights, university heights. Carlsbad and oceanside is ok, but I don't recommend for an investment. They are overpriced areas and more family oriented.
Clairemont, College area, and areas surrounding downtown are my best recommendation.
Quote from @Josh Garcia:
Quote from @Ryan Cousins:
Hi There!
My fiance and I are looking to buy a SFH as well as an investment property in San Diego. The only issue we have run into is the prices and bidding wars.
Every single home we have looked at for personal use or an investment seems to have 5+ offers and go MUCH over asking.
We are currently looking at Bay Park / Clairemont / Carlsbad / Oceanside.
I am curious if anyone has had success in other areas let me know.
We are thinking of relocating as it looks like there is no end in sight for this.
@Ryan Cousins I'm in the same boat looking at SFR's. Oceanside seems to be the only reasonable market of the ones you listed. I'm hoping to get into Bay Park/Clairemont but haven't had any luck. I'll keep you updated as I continue my search but good luck!!
Quote from @Joshua Bautista:
Quote from @Josh Garcia:
Quote from @Ryan Cousins:
Hi There!
My fiance and I are looking to buy a SFH as well as an investment property in San Diego. The only issue we have run into is the prices and bidding wars.
Every single home we have looked at for personal use or an investment seems to have 5+ offers and go MUCH over asking.
We are currently looking at Bay Park / Clairemont / Carlsbad / Oceanside.
I am curious if anyone has had success in other areas let me know.
We are thinking of relocating as it looks like there is no end in sight for this.
@Ryan Cousins I'm in the same boat looking at SFR's. Oceanside seems to be the only reasonable market of the ones you listed. I'm hoping to get into Bay Park/Clairemont but haven't had any luck. I'll keep you updated as I continue my search but good luck!!
@Ryan Cousins not sure if you are still looking or not but the market has changed from where it was 7 months ago. Obviously the net number is what's most important to sellers typically but I have found escaltion clauses and offering free rent backs to the seller are just a couple of ways to make your offer stand out. The key is finding out what the seller wants as far as terms but the majority just want a quick close with the highest price. Buyer letters were great too until they did away with those. Some sellers will still entertain them.
I have had luck with doing direct mail marketing for some of my past clients that wanted a certain area or neighborhood, you'd be surprised at how many sellers don't want to deal with showings and everything else that goes into listing a home. Feel free to reach out if you still want some assistance with the search.
Quote from @Ryan Cousins:
Hi There!
My fiance and I are looking to buy a SFH as well as an investment property in San Diego. The only issue we have run into is the prices and bidding wars.
Every single home we have looked at for personal use or an investment seems to have 5+ offers and go MUCH over asking.
We are currently looking at Bay Park / Clairemont / Carlsbad / Oceanside.
I am curious if anyone has had success in other areas let me know.
We are thinking of relocating as it looks like there is no end in sight for this.
If you had 250k to spare or sitting in a non interest bearing account, you could look into the hard rock hotel condos. You have to purchase in cash and you can only stay in them 28 days per year because the HOA runs it like a business and leases the HRH name but you do own the deed. The returns have been about 7% or 16-21,000/year NET on my properties. The prices have gone up since you wrote this though. It's the ultimate "investor" property as it's designed for investors unlike some other condo or house in Carlsbad that you won't be able to visit because it will be on a 1-2 year lease and will only net you equity via appreciation, not cash. Depending on your goals, this might be a nice vacation property and to diversify your portfolio. I think the HOA is going up 10% next year so you might find some deals as some people will sell. Just my guess.
Bay Park / Clairemont / Carlsbad / Oceanside are all top-tier markets that fetch top dollar (see the Yellow & Red).
Move your search slightly inland, or further down South and inland, in order to get something done for 1/2 the price, with similar rents (not quite as high, but definitely not 50% less like the purchase price would be)
Hi @Ryan Cousins! Yes we were successful winning bidding wars 3 months ago using the family postcard technique;) Basically, we added a cute picture of our family along with our offers (which were based on conventional financing) and our “humanity” made us win over the cash offers. Good luck!
#5 House Hacking Contributor
- Realtor
- Reno, NV
I know this post is old - but were you ever able to find a place??
- Jake Andronico
- 415-233-1796
@Ryan Cousins - I only buy deals off market. Takes time and money, but the savings are exponential. Look into direct mail.
- Nate Meeker
- [email protected]
- 951-383-4747
Quote from @Jake Andronico:
I know this post is old - but were you ever able to find a place??
@Jake Andronico Still looking!
Quote from @Senami Craft:
Hi @Ryan Cousins! Yes we were successful winning bidding wars 3 months ago using the family postcard technique;) Basically, we added a cute picture of our family along with our offers (which were based on conventional financing) and our “humanity” made us win over the cash offers. Good luck!
Great idea!