Should You Buy Luxury Real Estate in San Diego Now, or Wait?

My perspective on interest rates, timing, and recognizing the right opportunity.

One of the questions I’m asked most often these days is, “Should we buy now, or should we wait?”

And I completely understand why.

Between fluctuating interest rates, economic headlines, and seemingly endless predictions about where the real estate market is headed, it’s easy to wonder whether waiting just a little longer might be the smarter decision.

But after more than 26 years in real estate, helping clients navigate everything from booming markets to challenging ones, I’ve learned something important:

There is rarely a perfect market. But there can absolutely be a perfect opportunity for you.

I always remind my clients that buying a home, particularly at the luxury level, is about so much more than interest rates. It’s about lifestyle, timing, financial comfort, and finding a property that truly feels right.

And in communities like Rancho Santa Fe, La Jolla, and Del Mar, those considerations become even more important.

You Don’t Live in an Interest Rate. You Live in a Home.

Yes, mortgage rates are higher than many buyers would like, and that certainly affects purchasing power, particularly for those financing a substantial portion of their purchase.

But here’s something I encourage my clients to remember:

You don’t live in an interest rate. You live in a home.

Of course, the numbers need to make sense. I would never encourage someone to stretch beyond their financial comfort simply because they’ve fallen in love with a property.

At the same time, I wouldn’t want someone to miss an extraordinary opportunity because they’re waiting for a particular interest rate that may or may not materialize.

Interest rates can change, and refinancing may become an option down the road, although that’s never guaranteed. But the right property, in the right location, with the features you’ve been searching for? That may not come around again anytime soon.

Especially in the luxury market, where truly exceptional properties are often difficult to replicate.

Every Luxury Market Has Its Own Personality

This is something I cannot emphasize enough.

People often talk about the San Diego real estate market as though it’s one market. It isn’t.

Rancho Santa Fe is very different from La Jolla. Del Mar behaves differently from both. And even within Rancho Santa Fe, the Covenant, The Bridges, and surrounding communities can have entirely different inventory levels, buyer demand, and pricing dynamics.

A sprawling estate with acreage, privacy, and beautiful grounds appeals to a different buyer than an ocean-view home within walking distance of restaurants and shops.

Both can be extraordinary properties, but they don’t necessarily respond to market conditions in the same way.

This is why I spend so much time studying individual neighborhoods, recent sales, available inventory, and properties that may not even be publicly on the market.

Over the years, I’ve learned that some of the best opportunities aren’t necessarily the homes everyone is looking at. Sometimes they’re the ones very few people know are available.

And that’s where relationships, local knowledge, and experience can make all the difference.

For Cash Buyers, the Conversation Is Different

Many of my luxury clients purchase with cash, which creates an entirely different conversation.

For these buyers, mortgage rates may not directly affect their purchasing power, but they can influence the competition.

When borrowing becomes more expensive, some financed buyers become more cautious. Depending on the property and market conditions, that can create opportunities for cash buyers to negotiate more favorable pricing, terms, or timelines.

And sometimes, the ability to move quickly and offer certainty is just as valuable to a seller as the purchase price itself.

I’ve seen firsthand how the structure of an offer can make an enormous difference.

It’s not always about offering the most money. It’s about understanding what matters most to the seller.

That’s something I consider in every negotiation.

The Advantage of Understanding More Than One Market

One of the things I love most about my business is helping clients transition between markets and begin exciting new chapters in their lives.

Having spent much of my career working in both California and Boston, I have a unique perspective on how different real estate markets behave.

Perhaps someone is selling a beautiful home in Boston and looking for more space, privacy, and sunshine in Rancho Santa Fe. Or they’re considering a second home in La Jolla while maintaining their primary residence on the East Coast.

In those situations, the conversation becomes much bigger than interest rates.

We discuss timing, the sale of an existing property, financial considerations, and how to make the transition as seamless as possible.

But just as importantly, we talk about how they envision living.

Are they looking for more time outdoors? A place where family and friends can gather? A home that offers privacy and a little more room to breathe?

Because ultimately, buying a home should be about moving toward the life you want to live, not simply reacting to financial headlines.

Three Questions I Encourage Every Buyer to Consider

When a client asks whether they should wait, I usually begin with three simple questions.

1. How long do you envision owning the property?

If you’re buying a home you plan to enjoy for the next ten or fifteen years, your perspective will likely be very different from someone planning to sell in two or three.

The longer-term picture matters, particularly when evaluating financing, ownership costs, and your future plans.

2. Have you found something truly special?

There’s a difference between finding a home that checks most of the boxes and finding one that genuinely excites you.

I often remind my clients that we can change finishes, update kitchens, and reimagine spaces. But we can’t manufacture more land, move an ocean view, or recreate a truly exceptional location.

Those are the qualities that deserve serious consideration.

And after all these years, I still believe there’s something wonderful about walking into a property and immediately knowing it feels like home.

3. What are you actually waiting for?

This may be the most important question of all.

Are you waiting for lower rates? More inventory? A change in your personal circumstances? Or simply the confidence that you’re making the right decision?

All are valid reasons.

But I believe it’s important to identify exactly what you’re waiting for and what would need to change for you to feel comfortable moving forward.

Otherwise, it’s easy to spend years waiting for the perfect moment while wonderful opportunities pass by.

Sometimes the Best Advice I Give Is to Wait

I want to share something that I think is especially important.

My job has never been to convince someone to buy a home simply because they’re considering it.

In fact, there have been many occasions throughout my career when I’ve advised clients to wait, reconsider a property, or walk away from a transaction altogether.

And I’ve never regretted giving that advice when I believed it was in their best interest.

To me, that’s what being a trusted real estate advisor is all about.

It’s not simply helping someone purchase a property. It’s helping them make a decision they’ll feel confident about long after the transaction is complete.

The right purchase needs to make sense financially, emotionally, and practically.

And if the right home isn’t available, or the timing simply doesn’t feel right, there’s absolutely nothing wrong with being patient.

But I do believe there’s an important difference between waiting strategically and waiting out of fear.

One is a thoughtful decision. The other can sometimes keep us from moving forward.

So, Is Now a Good Time to Buy Luxury Real Estate in San Diego?

My answer may surprise you.

It depends. And that’s exactly why having the right guidance matters.

For some buyers, today’s market may present opportunities that weren’t available when competition was more intense.

For others, patience may be the smarter approach.

What I do know is that some of the most successful real estate decisions I’ve witnessed over the years weren’t necessarily made when interest rates were at their lowest or when the headlines were most optimistic.

They were made when the right property, the right financial circumstances, and the right timing came together.

And perhaps that’s the perspective worth remembering.

The goal isn’t to time the market perfectly. It’s to make a decision you’ll feel good about for years to come.

Whether you’re considering a move to Rancho Santa Fe, searching for a coastal property in La Jolla or Del Mar, or simply exploring what your next chapter might look like, I’m always happy to share my perspective.

Sometimes the most valuable conversation is the one you have long before you’re ready to make a move.

Melinda Stockmal
Coldwell Banker Global Luxury
California | Boston

^{Join the List!}

Stay on top of the latest real estate trends and get exclusive insights from industry expert Melinda Stockmal. Sign up for our newsletter today and never miss a beat. Join our community of savvy homeowners, investors, and real estate enthusiasts and get the inside scoop delivered straight to your inbox.

Don't wait, Sign Up Now!