68% of luxury buyers pay cash — but you're still scrolling Zillow like it's 2019.
Here's the problem: While you're analyzing stale data on public platforms, serious investors are using The Cassity Team's exclusive network to secure San Diego real estate investment opportunities before they hit MLS. According to the NAR report, the number of properties purchased by international buyers (78,100) has surged 44% year-over-year. Also, total dollar volume from international transactions has risen to $56 billion, marking a 33% increase year-over-year [1] (NAR 2025).
Most investors think they understand the marketplace pulse. They don't.
"Smart investors don't follow trends — they spot opportunities before the crowd catches on."
The costly mistake killing your San Diego investment strategy
Normal: You check Zillow daily, bookmark properties, and submit offers after 47 other buyers. Explosion: San Diego inventory hits record lows while international cash buyers dominate. New Normal: Winners access off-market deals through agent networks, not apps.
Remember Sarah, a tech executive from Austin? She spent six months researching San Diego investment properties online. Lost 12 bidding wars. Then she contacted Jason Cassity. Within 24 hours, she secured a North Park duplex — never listed publicly — that now generates $4,800 monthly cash flow.
The difference? Access to opportunities you'll never find on Zillow.
Why San Diego's numbers don't lie (but most investors can't read them)
The California Association of REALTORS® (C.A.R.) reported that the median sold price of an existing single-family home was $1,040,000 in July 2025. This is up 2.0% from July 2024 [2] (C.A.R. 2025).
But here's the data that matters: The Greater San Diego Association of REALTORS® (SDAR) reports that the overall median sales price for residential properties in San Diego County reached $900,000 in May 2025, marking a 2.9% increase over the previous month [3] (SDAR 2025).
Normal: Investors see expensive prices and walk away. Explosion: Smart money recognizes the supply-demand imbalance creating forced appreciation. New Normal: Properties become wealth-building vehicles, not just shelter.
The inventory crisis creating millionaires
One of the defining features of San Diego's 2025 market is the scarcity of homes for sale. Inventory has remained near historic lows, which props up home prices and leads to competitive bidding for available homes. Many would-be sellers are holding off on listing, often because they're locked into ultra-low interest rates from prior years [4] (SDAR 2025).
Translation: Supply shortage = investor advantage (if you know where to look).
▶ Active listings countywide number only a few thousand – far below normal for a region of this size [4] ▶ The San Diego real estate market has been ranked among the ten most expensive real estate markets in the country. This creates massive demand for San Diego rental properties by those who simply cannot afford to buy homes. The rental market will continue to grow as the city grows an estimated 500,000 population by 2050 [2] ▶ Inventory has grown 47% year-over-year, creating more balanced conditions. The spring 2025 selling season saw peak activity with 642 sales in March [5]
Sure, I've been wrong about inventory timing before — predicted the "surge" in listings that never materialized. But the fundamentals remain bulletproof.
Your neighborhood-by-neighborhood wealth playbook
Tier 1: Coastal cash cows ($2M+)
La Jolla continues its relentless march upward. La Jolla ($2.8M median) offers world-class beaches and walkable village with 9% annual appreciation [5] (SDAR 2025). This isn't speculation — it's wealth preservation with a view.
Rancho Santa Fe demands $3.5M median and provides ultra-exclusive estates with 2-acre minimums [5]. For investors who understand legacy wealth building.
Tier 2: The growth goldmines ($800K-1.5M)
North Park transforms daily. North Park is becoming a popular place for renters and homebuyers. It has a unique mix of shops, craft breweries, and art studios that create a lively community. Property values are steadily rising because more people want to live in urban areas close to downtown San Diego [6].
Normal: Generic neighborhoods with chain restaurants. Explosion: Craft brewery culture creates community magnetism. New Normal: Young professionals pay premiums for walkable, authentic experiences.
Pacific Beach captures the coastal premium without La Jolla's price tag. Property values remain some of the highest in the San Diego housing market due to strong demand for stunning coastal views and high-end amenities. Recent trends show that median home prices are steadily going up caused by low housing inventory [6].
Tier 3: The appreciation accelerators ($400K-800K)
Barrio Logan explodes with gentrification momentum — emerging neighborhoods like Barrio Logan (+8.3% YoY) and Golden Hill (+6.2% YoY) show strongest growth [5] (Market Analysis 2025).
Mission Beach prints money for vacation rentals: Mission Beach leads with $144K annual potential [5] for short-term rental strategies.
The Cassity Team helped Marcus, a software engineer from Portland, identify a Mission Beach property generating $12K monthly — a deal he found through our exclusive network, not public listings.
The cash flow calculation that changes everything
As of July 2025, the median rent for all bedroom counts and property types in San Diego, CA is $2,800. This is +44% higher than the national average. A 1-bedroom apartment in San Diego, CA costs about $2,295 on average, while a 2-bedroom apartment is $2,928. Houses for rent in San Diego, CA are more expensive, with an average monthly cost of $4,150 [2] (SDAR 2025).
Normal: Investors chase 1% rules in declining markets. Explosion: San Diego rents hit +44% above national averages. New Normal: Cash flow becomes wealth acceleration, not just break-even.
■ Target neighborhoods: City Heights, El Cajon, or Santee for 5%+ cap rates. Multi-family properties offer best returns [5] ■ Rental premium: $4,150 average for single-family homes ■ Vacancy rates: near 4.0%, as new rental inventory continues to fall short of demand [7]
Market timing mastery: Your 2025-2026 window
Current interest rates create strategic opportunities. As of August 21, 2025, the average 30-year fixed mortgage rate is around 6.58%, and the 15-year is about 5.69%. Experts predict that 30-year fixed rates might settle between 6.0% and 6.5% by the end of 2025 [2] (C.A.R. 2025).
Normal: High rates scare investors away. Explosion: Smart money recognizes reduced competition creates negotiation power. New Normal: Today's rates become tomorrow's "cheap money" stories.
➜ Price projections: Home prices in San Diego are projected to rise by 1% to 3% over the next year. With the current median home price around $949,000, this would place average values between $956,370 and $965,110 by early 2026 [7] ➜ Appreciation drivers: sustained demand, a limited supply of quality listings, and consistent buyer activity—particularly in well-located mid-market neighborhoods [7] ➜ Timeline advantage: Act before rate decreases trigger buyer stampede
Construction pipeline: The supply story nobody tells
The city of San Diego reached a significant milestone by permitting more units in 2023 than in the past 17 years. In 2023, the county issued a total of 11,673 building permits, marking a 21% increase from the previous year. City officials permitted 9,691 of those homes, accounting for 83% of the county's total permits [8] (Construction Industry Research Board 2024).
Sounds encouraging? Here's reality: The cost of new construction remains high due to labor shortages, material inflation, and regulatory hurdles. As a result, developers struggle to bring new inventory online—especially in affordable and entry-level categories—worsening the supply-demand imbalance [7].
Translation: Permits ≠ Completions. The shortage continues.
ADU goldmine most investors ignore
Investor interest remains elevated, particularly in single-family homes with accessory dwelling unit (ADU) potential. San Diego's progressive ADU regulations have created opportunities for value-add investors looking to increase rental income and property utility [7] (Market Analysis 2025).
ADU profit formula: ➜ Maximum size: 1,200 square feet (attached or detached) ➜ Income potential: $2,000-3,500 monthly per unit ➜ Property appreciation: 15-25% boost from added square footage ➜ Tax benefits: Depreciation on improvements
Jake, a local contractor, bought a Clairemont property for $750K, added an ADU for $120K, now collects $5,200 total monthly rent. The Cassity Team connected him with the off-market deal and ADU-friendly contractors.
The economic foundation that never breaks
San Diego boasts a resilient and diverse economy, anchored by sectors such as biotech, healthcare, defense, tourism, and tech. Major employers like Qualcomm, UC San Diego, and the U.S. Navy continue to draw skilled workers, boosting housing demand near employment centers and transit-accessible areas [7] (Economic Analysis 2025).
Normal: Cities depend on single industries. Explosion: San Diego's diversity creates recession resistance. New Normal: Multiple income streams = sustainable rental demand.
Why The Cassity Team beats Zillow every time
Zillow shows you: Listed properties with 47 competing offers. The Cassity Team delivers: Off-market opportunities through 28,000+ agent network.
■ Pre-market access: Properties before public listing ■ Strategic negotiations: Navigate competitive situations with insider knowledge
■ Multi-platform marketing: Maximize exposure when selling ■ Market intelligence: Real transactions, not algorithm guesses
We've learned that aggressive online marketing works — but relationships close deals. Our proven San Diego approach combines cutting-edge technology with old-school relationship building.
Inventory trends creating your advantage
Inventory growth continued to reshape the landscape as more Sellers listed new homes for sale this July. Detached listings climbed 22.8 percent, while attached listings – including condos & townhomes – jumped 38.1 percent from July 2024. This growing supply gives you a surplus of options and more bargaining leverage [9] (SDAR 2025).
Translation: More choices = negotiation power (if you move fast).
The window is closing. San Diego remains well-supported by a diversified job base. The region's strength in technology, defense, biotech, and higher education will continue to attract skilled workers, supporting both housing and rental demand in core job corridors [7] (Economic Forecast 2025).
Stop researching. Start investing.
Every day you spend on Zillow, serious investors secure deals through professional networks.
Every month you wait for "perfect" conditions, appreciation continues without you.
Every quarter you delay, international buyers claim more inventory.
Your next move: Contact Jason Cassity and The Cassity Team today. Access our exclusive inventory of off-market San Diego real estate investment opportunities. We'll show you properties and neighborhoods that aren't on the public radar — yet.
Schedule your investor consultation at thecassityteam.com →
Discover our strategic investment approach and learn how The Cassity Team's local market expertise accelerates your San Diego investment success — before everyone else catches on.
