It seems like only a month or two ago I tweeted about the inventory of condos for sale in downtown San Diego had dropped below 500. I checked it today and were at 459. Its becoming clearer and clearer that the bottom of the market is behind us. The market for condos under $350K is the most competitive right now with multiple offers on all the good units, often selling for more than the asking price.
There are some who predict we will have a W shaped recovery. Maybe I dont know. What I do know is that the developers have stopped building condos in downtown and even when they start there are very view prime lots left to build on. There are a lot of lots to build on, but what we have seen is that a bad location can kill the sales of a decent quality building. Just look at
Vantage Pointe condos and Smart Corner condos, both high rises, moderately priced, but very few buyers prefer these locations. Because of that, Smart Corner is soon to be holding an auction to sell their units. You know the old saying in real estate, its all about location, location, location.
