From my perspective as someone who has been observing the real estate market in San Diego for a long time, it seems rare to see so many people contemplating between renting and buying as they are these days.

The median rent for a 2-bedroom is $3,137, and the median home price is around $1 million, so it's understandable to be cautious.

If we calculate the Price-to-Rent Ratio, dividing $1 million by the annual rent of $37,644 ($3,137 x 12 months) gives us about 26.6. A ratio above 21 suggests that renting tends to be more favorable, and San Diego significantly exceeds this benchmark, indicating a market leaning towards renting.

Let's also consider the monthly payment. If you purchase a $1 million home with a 20% down payment ($200,000) at a fixed rate of 6.75% over 30 years, the estimated monthly payment, including principal, property tax, and insurance, would be around $6,440. With rent at $3,137 under the same conditions, there's a difference of over $3,300 each month, which could certainly make you reconsider.

Let's also touch on the opportunity cost of the $200,000 down payment. Assuming a 7% return, you could potentially earn about $14,000 annually. Considering these figures, it doesn't seem there's a pressing reason to rush into buying right now.

Comparing with nearby cities, LA has a Price-to-Rent Ratio of 23.6, which is actually lower than San Diego, and Palm Springs is even lower at 20. San Diego's market reflects a premium for coastal access and climate.

When breaking down the criteria based on personal situations, if you're planning to settle down after retirement or intend to live long-term for over 10 years, there are indeed people who choose to buy despite the current premiums. However, if you expect to stay for less than 5 years or have tight initial funds, maintaining a rental while monitoring the market might be the more comfortable choice.

To be honest from the perspective of Korean households, San Diego is a popular area for those planning retirement immigration or a second life, and during times like this with high ratios, there's no need to rush. I recommend taking your time to compare various listings before making a decision.

This information is based on data as of May 2026, and the market can continue to change, so please verify the latest information before finalizing any contracts.