9 Things I Wish I Knew Before Buying Real Estate in California’s Wild Market

This past summer has been one of the wildest times of my life. As the pandemic continued (kind of), I realized I was spending a lot of time at home and a lot of time focusing on my finances. With this in mind, I determined it was time to consider owning property rather than renting.

San Diego is currently one of the hottest housing markets in the US right now. Demand is way stronger than supply, and prices keep going up. I also knew eviction and rent-relief efforts were ending and this would have implications. With such a strong demand for housing, I worried that my rent would go through the roof. If not this year, it would happen in the next few years. As I continued to weigh the pros and cons, buying a place seemed more and more appealing.

Keep in mind, I had been saving. In order to purchase any type of property, you need to have a significant down payment. While I have been working for over a decade, I also have benefitted from supportive parents. My down payment came from my own savings, but I can’t deny that their advice and financial support over the years have enabled me to build my savings account. I know this puts me in a position of privilege that many people cannot rely on, but I quickly found out that this would not be my golden ticket.

My journey takes place between Memorial Day and Labor Day in 2021. It was a whirlwind, and the dust hasn’t even settled, but I’m finally in my new condo, and I’ve learned a lot.

1. You Need to Move Fast

I only looked at a couple of properties, but my realtor told me that people were making and accepting offers at lightning speed. I had my budget, but I knew that I would need to play my cards strategically. The best thing I could do was look at the other properties that were purchased in similar areas at similar prices. This let me know that sellers were accepting offers over asking price.

There are a lot of factors that go into a seller’s decision. So, if you’re taking out a mortgage (like I was), it’s super important to be pre-approved. I didn’t get pre-approved until I was ready to start making offers, and that was a mistake. It was a huge rush to get all of the paperwork and fulfill all of the…