Trying to buy a home in San Diego without a plan can feel overwhelming. Prices vary a lot by neighborhood, competition can be intense, and there are local factors like Mello-Roos and HOA rules that can change your monthly costs. In this guide, you will learn a clear, step-by-step path tailored to San Diego, including timelines, disclosures, financing options, and the key risks to check. Let’s dive in.
San Diego market at a glance
San Diego is a high-cost coastal market with steady demand and limited supply in many areas. Coastal and near-coastal communities often command a premium, while inland locations tend to offer more price variety. Competition is strongest for well-priced, move-in ready homes near amenities and transit.
Neighborhoods function like micro-markets. For example, La Jolla, Del Mar, Encinitas, and Carlsbad often behave differently from inland North County areas like Escondido, San Marcos, Rancho Bernardo, and Poway. For current pricing and days on market, review county market updates from the California Association of Realtors.
Your step-by-step plan
1) Pre-plan your budget and goals
List your full costs. Include down payment, closing costs, moving, potential repairs, HOA dues, and possible Mello-Roos special taxes. Add insurance and utilities, which can be higher in coastal or wildfire-prone areas. Decide your must-haves and nice-to-haves so you can act quickly when the right home appears.
2) Get a strong pre-approval
Request a written pre-approval that verifies your income, assets, and credit. In competitive submarkets, sellers often require proof of funds or a lender letter before considering your offer. Basic pre-approval can take 1 to 7 days, and a full underwritten approval may take longer.
3) Choose a local buyer’s agent
Select an agent with deep San Diego and submarket knowledge. A local pro helps you read the comps, refine your offer strategy, and coordinate inspections and escrow. If you value an investor-informed perspective, ask for guidance on ROI, ADU potential, and long-term maintenance costs.
4) Tour homes and craft offers
Tour during the week when possible so you can prepare for weekend competition. Your offer will use the California Residential Purchase Agreement and include price, deposit, escrow length, and contingencies. Typical escrow lengths run 30 to 45 days, with 21 to 30 days possible for strong buyers. Competitive offers may include larger deposits, shortened contingency periods, or escalation language, each with tradeoffs.
5) Open escrow and track deadlines
Once the seller accepts, escrow is opened and your earnest money deposit is due per the contract. You will receive a timeline of contingency dates. Stay responsive to keep the file moving.
6) Complete inspections and review disclosures
Schedule a general home inspection during your inspection contingency. Add targeted inspections as needed, such as pest, sewer scope for older homes, roof, pool, and HVAC. In coastal areas, salt-air corrosion can affect metal components, so a thorough roof and HVAC review is smart.
7) Appraisal and underwriting
If you are financing, the lender orders an appraisal. If the value comes in below contract price and you do not have an appraisal contingency, you will need to cover the gap or renegotiate. Underwriting may request updated documents, so reply quickly to avoid delays.
8) Title, HOA, and Mello-Roos
Review the preliminary title report for liens, easements, and special assessments. If the property is in an HOA, read the CC&Rs, bylaws, budget, reserve study, meeting minutes, and any special assessment notices. Check Mello-Roos special taxes early since they can add hundreds to thousands of dollars per year depending on the parcel.
9) Final walkthrough and closing
Complete your final walkthrough 24 to 72 hours before closing to verify condition and agreed repairs. You will sign loan and closing documents at escrow. When funds are received and the deed is recorded, you become the owner.
Key disclosures and HOA items
Expect a standard California disclosure package. You will review the Transfer Disclosure Statement, the Natural Hazard Disclosure, the seller’s property questionnaire, and, for pre-1978 homes, a lead-based paint disclosure. Many sellers also include a Megan’s Law notice and any local environmental or district disclosures.
If you are buying in an HOA, you will receive the CC&Rs, bylaws, operating budget, reserve study, insurance certificate, recent financials, meeting minutes, and any pending special assessments. Review rental and short-term rental policies, pet and parking rules, capital contributions or transfer fees, and reserve funding levels. Ask follow-up questions if something is unclear.
Financing and assistance in San Diego
Most buyers use conventional or jumbo financing, while FHA and VA loans help many first-time and eligible military buyers. For up-to-date down payment and assistance options, look at CalHFA programs and the San Diego Housing Commission homeownership programs. VA-eligible buyers can review benefits and eligibility on the official VA home loans page.
Budget for closing costs, which include lender fees, appraisal, escrow and title fees, recording, and prepaid taxes and insurance. Property taxes include the base rate plus parcel assessments and any Mello-Roos special taxes. For property tax billing, exemptions, or special tax details, visit the San Diego County Treasurer-Tax Collector.
Local risks, permits, and STR rules
Wildfire risk affects many inland and hillside communities, and flood or coastal erosion may impact coastal or low-lying areas. Earthquake risk is statewide. Your Natural Hazard Disclosure will flag mapped zones and can inform your insurance planning.
If the home has past remodels or additions, verify permits with the city or county. In the City of San Diego, start with Development Services. If you plan to rent short term, review the Short-Term Residential Occupancy rules in the City of San Diego and always confirm HOA policies.
Quick document checklist
- Transfer Disclosure Statement (TDS)
- Natural Hazard Disclosure (NHD)
- Seller’s Property Questionnaire
- Lead-based paint disclosure if built before 1978
- Preliminary title report
- HOA resale package if applicable
- Pest report and any specialized inspection reports
- Appraisal report if financing
From closing to move-in
After closing, switch utilities and update your mailing address. Confirm that the HOA has your contact information and that your property tax bill is set to the correct address. Consider filing for the homeowner’s exemption if eligible. For a copy of the recorded deed, check with the San Diego County Recorder.
Ready to buy with clarity and confidence in San Diego? Get personal, investor-informed guidance and a smooth, high-touch experience with Lorenzo Sorano. Let’s make a smart move.
FAQs
How long does escrow take in San Diego?
- Most financed closings take about 30 to 45 days, while cash purchases can close in 10 to 30 days depending on contract terms and scheduling.
What is typical earnest money for San Diego buyers?
- Earnest money is negotiable and varies by price point, and larger deposits can strengthen an offer since they show commitment.
Which inspections are common for San Diego homes?
- A general home inspection is standard, plus targeted inspections like pest, sewer scope for older homes, roof, pool, HVAC, and septic where applicable.
What is Mello-Roos in San Diego and how does it affect costs?
- It is a special tax used in certain districts that adds to annual property taxes, and the amount varies widely by parcel and can be hundreds to thousands of dollars per year.
How important is hiring a local San Diego buyer’s agent?
- Very important because local agents understand micro-market pricing, HOA processes, common inspection issues, and negotiation norms across coastal and inland areas.
Which contingencies should a San Diego buyer consider?
- Typical contingencies cover inspection, financing, appraisal, and HOA or document review when applicable, and the timing is negotiable based on your strategy and risk tolerance.
