When will the Market hit Bottom?

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When will the Market hit Bottom?

December 15th, 2008 categories: Buying

When will the housing market stop going down? When will home prices level out? If I could tell you the exact day the San Diego real estate market was going to turn around, would you buy that day?

Every day I go to work, I drive by the same three gas stations. And over the last several months, I’ve seen prices rise up to over $4 a gallon and drop all the way down to $1.59 a gallon. In the news, you hear about all these poor people who locked in gas prices for the homes at $3 a gallon and are paying the price now.

Can you blame them? Fuel prices were going up so quickly, we all thought we’d be at $6 a gallon in no time! Companies like Chrysler even guaranteed gas at $3 a gallon to try and motivated car sales. Now that prices are down and keep going down, how do we know when they’ll go back up? Are SUVs ok to buy now? If possible, should we lock in a price now?

I understand that fuel prices are not directly related to the housing market, but surely you can see the comparison I’m making – how do you know where the bottom is, until prices go back up? Was $2.50 a gallon a good deal for gas a few months ago? I thought it was…but now I drive the extra two blocks to pay $1.59 versus $1.69 a gallon. If you could lock in a price on the gas you’ll pay for the next 10 years, when would you do it? Would you wait for it to drop more? Or would you be happy with where it’s at? What if the prices jumped to $2.25 a gallon next month?

I’ve been watching the San Diego real estate market for almost 5 years and from the investor activity I’ve been seeing lately, I think we’re pretty much at the bottom. Yes I know “pretty much” means that it could still drop more, but how much does that matter? Are you going to sell in two years? If you are, you shouldn’t be buying anyhow!

If you want to hear about some great deals, give me a call. Denny Oh 858–243–2092 denny@sandiegoh.com

I don’t list all the deals on my site, so please check with me. Thanks.

This entry was posted on Monday, December 15th, 2008 at 4:47 pm and is filed under Buying. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.