What We're Hearing

I'm on assignment in the San Diego area, Carlsbad to be exact. A few weeks ago I was on the Jersey shore (Ocean City) and discovered -- to my surprise -- that not many vacation properties were for sale. However, in the Carlsbad vicinity, the situation is a bit different. There seems to be a fair amount of homes for sale -- and plenty of vacation rentals. I met a fisherman on the beach one morning who told me his son recently bought a house in the area for $350,000. Two years ago, the same house would've fetched $550,000, he said. (The home is a bit inland though.) It seems to be a buyer's market ($500,000 is cheap for anything near the coast). But what will happen when California's $10,000 home buyer tax credit wears off next spring? More later...