Point Loma, a sought-after coastal neighborhood in San Diego, boasts a rich history. It was once the site of a naval base, a training facility, and a lighthouse that called errant ships home. Just 70 years ago, the southern section of the peninsula was used for military purposes in WWII. Since then, the area’s beautiful coastline has attracted Americans to its unspoiled land, erecting neighborhoods, and luxury amenities. Around Point Loma’s high-end suburbs, restaurants popped up, lush green spaces and trails were mapped out, and boutiques and shops opened up.
Today, Point Loma is one of the most desirable places to live, work, and play in San Diego. People travel from miles around to cross the Cabrillo Bridge from the mainland and visit the Point Loma Lighthouse, hike or bike the local trails, enjoy waterfront dining, and look for their own slice of real estate in this seaside oasis.
Point Loma housing market forecast 2023
It’s no secret that the last few years have been a challenge for the United States as the world recovers from the COVID-19 pandemic, and Point Loma was no different. As a community within San Diego, Point Loma’s real estate market experienced similar gains and losses. Like most of California, the area experienced a low housing supply and an influx of buyers brought on by historically low-interest rates. This caused a seller’s market, with many homes selling above the asking price.
Despite the uncertainty over the last couple of years, Point Loma’s real estate market has rebounded, with signs of increasing supply levels
in both single-family homes and townhouses.
Point Loma remains a solid seller’s market
While inventory levels for single-family
homes in Point Loma were up 17.9% in June of 2023, the area is still experiencing a seller’s market. New listings were down a whopping 48% since this time last year, at 13 and 25 listings, respectively. Homes were spending 25 days on the market. While the local real estate environment still favors sellers, buyers will be pleased to know that Point Loma boasted three-point-three months of inventory supply in June, an impressive increase of 50% from this time last year.
Changes in interest rates are unlikely to affect Point Loma homes
With the recent interest rate hikes from the Fed Reserve and more increases expected to come
over the course of the rest of the year, it’s no surprise that industry experts see housing prices leveling off a bit. At the same time, Point Loma homes are still in high demand, with homes going fast and only 33 available listings in June 2023. Even with interest rates at the highest percentage they’ve been in more than two decades, Point Loma’s high desirability provides relief for the local market.
Point Loma is a solid investment
Whether as a primary residence or as an investment, Point Loma real estate
is a worthy investment. The area boasts a favorable balance of owner-occupied homes and short-term and long-term rentals, providing the perfect backdrop for investors looking to diversify their portfolio, buyers searching for a new home, and sellers seeking top dollar on their sale.
The swath of pristine coastline hugging Point Loma only adds to the area’s desirability, increasing home values and providing long-term wealth for homeowners. The area has a lot to offer, from well-rated schools and trendy restaurants to luxury boutiques and a delightful mix of coastal charm and suburban comfort.
Negative net population migration
Reports show that California has lost more than half a million people
in just two years, and San Diego has been one of the cities hit the hardest. The state’s stay-at-home orders during the pandemic were more strict and long-lasting than in other states, and many people working from home migrated to southern states offering less-stringent pandemic regulations and a lower cost of living.
San Diego County housing market trends 2023
In June, the median sales price
for a single-family home in San Diego County was $805,500, an increase of one-point-three percent. However, condominiums and townhomes saw a considerable increase, at three-point-three percent to $620,000. Overall, the market has seen a dip of 26.2% in inventory levels. Since last year, Point Loma’s real estate market has experienced a decline of 32.6% in pending home sales.
As of June 2023, Point Loma’s housing market boasted a two-month supply
in single-family homes and a little over one and a half months for condominiums and townhouses.
How COVID-19 affected the San Diego County real estate market
San Diego experienced a negative net population migration and an extreme seller’s market during the pandemic. Housing prices rose
during this time, and experts are only now seeing a decline.
Point Loma real estate market: should you invest?
While Point Loma still boasts a lower housing supply, levels are rising, providing some much-needed relief for buyers. However, high-interest rates may be a challenge for some. Despite this, purchasing Point Loma real estate is an excellent investment, as homes in this lucrative area are increasing in value. With its air of exclusivity, its history, and its consistent ability to meet modern demand, Point Loma is not only an up-and-coming real estate market but also one you would do well to invest in.
Point Loma attractions
Point Loma residents have a broad array of exciting and fun attractions at their fingertips. The area is close to Liberty Station and Voltaire Street, offering amazing restaurants boasting flavorful entrees and crafted cocktails. Locals of all ages love the area’s top-rated historical landmarks nearby, such as Point Loma’s Cabrillo National Monument, perfect for sightseeing and exploring. From beaches to walkable districts, there is no end to the amenities Point Loma offers.
Martin Correia: the Point Loma realtor for you
Martin Correia, founder of San Diego’s favorite real estate team
, is proud to help his clients find and sell Point Loma real estate. His team’s hard work ethic and extensive knowledge of the local market have built a reputation for guiding buyers to the perfect home and sellers to a top-dollar price. With the perfect combination of experience and expertise, MMC Real Estate is eager to serve all of your San Diego luxury real estate needs and help you on your journey to buying a Point Loma home. Contact Martin Correia
and the team today.