Wednesday, November 14, 2012

The bubble is back! Encinitas neighborhood now selling above 2007 peak prices

The bubble is back, baby!

Check out this little townhouse neighborhood by the library.  It's a good case study, because there are a lot of homogeneous units, and they trade relatively frequently.  They got into the low-$800's in 2005-07.  By 2009-10 they had dropped back to the $600's.

293 Triton sold in September for a record $840,000.  449 Pescadero listed last month at $875,000 (since pulled).

Your mileage may vary.  Some of this reflects a preference shift toward smaller, lower-price, low-maintenance units in prime locations.  I wouldn't expect most of Encinitas to pass peak pricing for quite a while.


  1. The election results were good for future home prices in Encinitas. More focus on sustainable quality of life issues equates to more people wanting to live in that place, which equates to higher property values. Its that simple. Jerome Stocks was bad for quality of life and home prices.

      What a maroon!!!

    2. As the state workers union ramps up its desire to kill off prop 13, home prices will crash as hundreds of thousands of Californians sell their homes and run from the Peoples Republic of Califortaxia. Good luck with that Johnathan....

    3. Indeed. It's going to be a battle of whether Zimbabwe Ben can destroy the dollar faster than the politicians can destroy the California economy.

      I'm betting on Zimbabwe Ben.

  2. Like sustainable municipal budgets that don't pass on crushing pension and park debt to the future? Like quality of life issues surrounding living in a smaller town where more people know each other and we don't get so dense that we have to make up an enviro-myth that big cities are more like small towns than small towns? How about the envrio-myth that more people will create less traffic and make roads safer for street-hockey and riding bikes?

  3. Like not passing a 35% increase in all city pensions which inreases debt and liability for all tax payers. No one except dumbass jerome stocks can be that bad for property values!

  4. This is how to deal with 13 give the breaks to the old people and rise the percentage that can be asses on the younger population and lower income tax rates. Shift taxes away from income tax to property. Conservatives love Texas and Texas taxes property high and doesn't tax income.