Downtown San Diego is not falling victim to the sluggish real estate market across the country. The average and median sales prices for all real estate Downtown including, single family detached homes, lofts, condos, and townhomes, are up. The average sales price jumped from November 2005 to November 2006 over $114,000 while the median sales price rose $70,000 in the same time period, according to Sandicor statistics. As interest rates continued to drop at the end of '06 home sales in San Diego were given the support they needed to bounce back.

Because of the revitalization process of the Downtown San Diego area that began in the '70s, there are tax incentives for builders that encourage them to add incentives of their own to get people to buy. A lot of builders are offering cash back towards closing costs and anywhere from six months to a year without Home Owners Association fees. In a place where HOAs can cost up to $500 bucks a month, that's a serious incentive!