If you're thinking about buying a home in the San Diego metro area, and your budget gives you some flexibility, you'll want to put the city of Carlsbad onto your short list. The Carlsbad real estate market is highly competitive, and local home prices run higher than both regional and statewide averages. But there's a reason for this. Carlsbad is one of the most beautiful cities in the United States, with a plethora of amenities and attractions.