Check out Ryan & Tracie’s latest Coastal San Diego Market Round-Up – Cash Buyer & A Tale of Two Markets. For further information about this topic or to discuss your personal situation in detail email/call Ryan or Tracie directly and check out all coastal listings at their website: www.LaJollaAgent.com
In recent months 30-40% of all San Diego County homes have been purchased in cash. There are several reasons to explain this phenomena, not least:
For International Investors
- Great Value: compared with global real estate alternatives San Diego prices are extremely appealing
- Safe & Secure: the US presents political, legal and financial stability
- Exchange Rates: favorable currency resulting in a cheap US dollar
For Domestic Investors:
- Wall Street: Large funds purchasing distressed and more recently non-distressed properties
- Returned Wealth: Locking in a safe asset with the return of the equity markets
- Inflation: Safe defensive play to protect against inflation
A large number of cash buyers usually signifies strong market demand. However, inevitably tighter lending guidelines have driven some to purchase in cash upfront and return to financing options post close of escrow. Others simply prefer the maximized return that a cash purchase offers.
When discussing cash purchases it is important to differentiate between the different types of cash buyer. Read more about this interesting topic in Ryan & Tracie’s La Jolla Light Coastal San Diego Market Round-Up where they identify the different types of cash buyer and highlight their objectives.
Contact Ryan: Ryan@LaJollaAgent.com or (858)405-4004
Contact Tracie: Tracie@LaJollaAgent.com or (619) 886-5294