The San Diego real estate market is booming! It's listed as a top-15 market on PWC's Emerging Trends in Real Estate 2022 report.
Like Salt Lake City, Miami, and Boise, San Diego is considered a magnet market. The reason? Population growth combined with low inventory, high demand, and above-average home price appreciation. Demand is so high San Diego averages only a month and a half's worth of housing inventory.
The San Diego Area's growth, demand, and home price appreciation should put it on any real estate investor's list.
San Diego is in Southern California just north of the U.S.-Mexico border. It's known for its rugged beaches, mountains, sunshine, and relaxed vibe that attract residents and tourists alike.
Real estate investors can find nearly every property type in San Diego's property listings. Whether you're looking to invest in a single-family home, multi-family housing, vacation rental, or short-term rental, San Diego homes has something to offer all investors.
San Diego is home to many great neighborhoods and suburbs for investors. They include Chula Vista, Encinitas, Hillcrest, North Park, and Ocean Beach.
A few other areas of note are La Jolla, a seaside city known for its rugged coastline and luxury homes; Carlsbad, known for its surfing, flower fields, and as the halfway point between Los Angeles and San Diego; Normal Heights, a vibrant neighborhood near North Park; Pacific Beach, known for its beaches, nightlife scene, and condos; and Oceanside, a surfer-friendly city north of Carlsbad. No matter what you're looking for, San Diego has something for everyone.
San Diego has a robust rental market. The city's idyllic location has always generated high demand for residential and vacation rental properties. In fact, 46% of households in San Diego are renter occupied. The city's vacancy rate is 4.7%.
According to Realtor, the median listing price in San Diego is $681 per square foot with a median sale price of $900,000. Zillow's Home Value Index reports a 26.6% change since last year. The median rent in San Diego is $4,000 per month. These numbers translate into great rental income and profitability.
San Diego presents many investment opportunities for real estate investors to earn high ROI and increase their cash flow.
San Diego's solid, robust economy outperforms California and U.S. averages in almost every key area. The city's primary industries include international trade, defense, manufacturing, and tourism.
San Diego's largest employers include the United States Navy, the University of California, San Diego, Sharp Healthcare, and Scripps. San Diego also has a growing technology sector and is home to many startups. These employers provide stability and jobs that attract new residents.
Add San Diego's warm climate and miles of gorgeous coastline, and it's no wonder the city attracts residents and tourists all year round.