It seems strange to be talking about a housing shortage at this time. The economy is terrible and the market is flooded with foreclosures.
However, there are other details we should consider as we look forward into the future.
The value of real estate has always gone through cycles, but over time, the value has been increasing. Eventually, the current economic situation will stabilize and people will begin to buy houses again.
Be prepared, because when this occurs, the prices of single-family, detached homes in Carlsbad will dramatically increase, and it could happen relatively quickly. Why?
1. North County, especially Carlsbad, is an extremely desirable place to live.
2. Unlike the recession of the 1990s, there hasn't been a large scale relocation of people from San Diego County.
3. Even though there appears to be a lot of foreclosures, experts estimate that once the market picks up, there is less than a six-month inventory of available homes.
4. Very few single-family, detached homes are being constructed at this time.
5. Except for Robertson Ranch, we have seen the end of the large scale master planned communities in Carlsbad. There will be a few smaller, single-family infill projects that are mostly 20 homes or less in the older part of Carlsbad. Most of the future residential development in Carlsbad will be attached, higher density, multi-family projects due to a lack of land and mandates from the state to encourage higher density, transit-oriented development.
6. Much of the vacant land that exists in Carlsbad has been set aside as permanent open space as part of the city's Habitat Management Plan.
7. Obtaining permission to build a subdivision in Carlsbad is very costly and time consuming.
8. Due to the current economic situation, very few builders are processing plans thorough the city at this time.
9. The demand for a single-family, detached home remains very strong. Even with the current pressure from the state to provide housing at greater densities, owning a home on a separate lot will continue to be highly desirable.
In the short-term, housing prices may continue to decrease before there is a recovery. However, the economic situation will stabilize and people will start to purchase homes. When this occurs, the limited inventory of single-family homes will disappear quickly.
Whether the value will go up as quickly as it has in the past remains to be seen, but the prices will go up substantially. For more information, call Howes, Weiler and Associates at (760) 929-2288 or visit
www.hwplanning.com.
However, there are other details we should consider as we look forward into the future.
The value of real estate has always gone through cycles, but over time, the value has been increasing. Eventually, the current economic situation will stabilize and people will begin to buy houses again.
Be prepared, because when this occurs, the prices of single-family, detached homes in Carlsbad will dramatically increase, and it could happen relatively quickly. Why?
1. North County, especially Carlsbad, is an extremely desirable place to live.
2. Unlike the recession of the 1990s, there hasn't been a large scale relocation of people from San Diego County.
3. Even though there appears to be a lot of foreclosures, experts estimate that once the market picks up, there is less than a six-month inventory of available homes.
4. Very few single-family, detached homes are being constructed at this time.
5. Except for Robertson Ranch, we have seen the end of the large scale master planned communities in Carlsbad. There will be a few smaller, single-family infill projects that are mostly 20 homes or less in the older part of Carlsbad. Most of the future residential development in Carlsbad will be attached, higher density, multi-family projects due to a lack of land and mandates from the state to encourage higher density, transit-oriented development.
6. Much of the vacant land that exists in Carlsbad has been set aside as permanent open space as part of the city's Habitat Management Plan.
7. Obtaining permission to build a subdivision in Carlsbad is very costly and time consuming.
8. Due to the current economic situation, very few builders are processing plans thorough the city at this time.
9. The demand for a single-family, detached home remains very strong. Even with the current pressure from the state to provide housing at greater densities, owning a home on a separate lot will continue to be highly desirable.
In the short-term, housing prices may continue to decrease before there is a recovery. However, the economic situation will stabilize and people will start to purchase homes. When this occurs, the limited inventory of single-family homes will disappear quickly.
Whether the value will go up as quickly as it has in the past remains to be seen, but the prices will go up substantially. For more information, call Howes, Weiler and Associates at (760) 929-2288 or visit
www.hwplanning.com.