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EconoMeter: Why aren't foreclosures in San Diego higher?


Sunday, June 26, 2011

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Kelly Cunningham, National University System

San Diego’s housing market led the nation into the housing mortgage meltdown and is further along the default and foreclosure process. Although it is difficult to fully gauge where lenders are in processing all of their defaulting properties, San Diego’s market conditions are somewhat better than many more devastated nearby housing markets because the local economy is somewhat stronger and gradually improving. Employment losses were not quite as steep, and housing supply not nearly as overbuilt. With constrained and unmet housing needs, short sales are more viable and more often successfully completed rather than going through the process of foreclosure.