Median home price: $374,800
San Diego's gorgeous Pacific coastline and flawless weather couldn't buffer it from the housing collapse. Home prices fell as much as 40% from the peak, according to Wells Fargo.
However, intensive urban renewal projects and an influx of younger residents who are attracted to the area's recreational activities and professional sports franchises have helped keep the city's housing markets afloat.
The city's downtown renewal kicked off in the mid-1980s with the opening of the Horton Plaza, an architecturally-unique outdoor shopping mall spanning five levels. That helped jump-start the revival of the historic Gas Lamp Quarter next door. San Diego's former "skid row" is also now a lively historic district with lots of restaurants, clubs and shops.
San Diego is above all, though, a collection of livable, single-family-home communities with easy access to desert and ocean. The city also boasts one of the lowest crime rates in the country. However, available land is limited, which keeps property values high.
The high prices contributed to a particularly bad foreclosure problem starting in the mid-2000s as many buyers struggled to pay off mortgages. Lately, the foreclosure problem has cooled off a bit with foreclosure filings off nearly 30% in the past 12 months, according to RealtyTrac.
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