Carmel Valley in San Diego should not be mistaken for Carmel Valley in Northern California. Carmel Valley is a community located to the east of Del Mar and is made up of corporate, retail and residential areas. The homes here are made up of upscale family communities that have access to excellent schools in some of the best districts in San Diego County. It has the temperate coastal climate that is desired in San Diego, but Carmel Valley San Diego homes typically have larger lots than some of the real estate that is closer to the coast.