Here's something you might be interested in.
Housing values may take a generation or more to rebound, Yale economics Prof. Robert Shiller told Reuters Insider today (April 24). "I worry that we might not see a really major turnaround in our lifetimes," said the professor, co-creator of the Standard & Poor's/Case-Shiller home price index, which came out this morning. San Diego County did reasonably well in the February index. Home values rose 0.2% from January; values for the largest 20 metro areas dropped 0.8% in the same period. Values in only two of the top 20 markets, Miami and San Diego, rose in February. From a year ago, however, San Diego values are down 3.9%, slightly worse than the collective 3.5% decline of the top 20 markets. Local home values are now down 40.5% from the November 2005 peak.
Housing values may take a generation or more to rebound, Yale economics Prof. Robert Shiller told Reuters Insider today (April 24). "I worry that we might not see a really major turnaround in our lifetimes," said the professor, co-creator of the Standard & Poor's/Case-Shiller home price index, which came out this morning. San Diego County did reasonably well in the February index. Home values rose 0.2% from January; values for the largest 20 metro areas dropped 0.8% in the same period. Values in only two of the top 20 markets, Miami and San Diego, rose in February. From a year ago, however, San Diego values are down 3.9%, slightly worse than the collective 3.5% decline of the top 20 markets. Local home values are now down 40.5% from the November 2005 peak.
We will NOT see home prices like 2003-2007 again in our lifetimes.....
Shiller is fearful of something like that -- not crawling back in a generation or so. Best, Don Bauder
Factoring in inflation, the real price of housing in San Diego has probably declined by at least 50% since the November 2005 peak. The values need to increase by 3% to 4% each year just to keep pace with the real inflation rate.
Definitely, an inflation adjustment would make the figures much worse. Best, Don Bauder
ZILLOW SAYS SD PRICES HAVE ALREADY BOTTOMED. Today (April 25) Zillow says san Diego home values bottomed in the first quarter of this year. Ergo, San Diego has already hit bottom. It's not much of a bottom. The San Diego median home price in March was $336,300. Of the top 30 metro markets, only three are higher: Los Angeles $382,100; San Francisco $456,200 and San Jose $545,000. San Diego even tops New York's $334,200. Best, Don Bauder