The average price of a home in San Diego hit an all-time high of $634,000 in July 2020 - despite some of the worst economic conditions the country has ever seen, record unemployment, AND a worldwide pandemic. That's a 9.3% increase over 2019 when the average price was $585,00 and according to the San Diego Union-Tribune, it's highest annual increase in nearly two years.
Home sales in San Diego County jumped 19.6% from June to July and 6.6% in July 2020 over the same month in 2019.
The real estate industry reports a greater demand to purchase homes even though unemployment in California is at almost 15% and the pandemic doesn't appear to be ending any time soon.
Historically low interest rates may also be contributing to the surge in home sales, with Freddie Mac reporting an average interest rate of 2.99% on a 30-year fixed mortgage.
People are spending significantly more time in their homes now, which tends to amplify any dislikes they might have with their current situation - like not having enough space and not being able to work from home conveniently. The desire to have a better living space, and low interest rates are influencing people's buying decisions.