All of your examples are either bank owned, or short sales. Considering that prices are now starting to flirt with $100/sf (one example shows $103/sf), and we are not seeing anywhere near the total inventory that the banks are carrying in Temecula and Murrieta, I agree that it is going to get much uglier.

I have heard anecdotally that only about 20 – 25% of the total REO inventory is on display in Temecula and Murrieta, due to bank fears that flooding the market will further depress prices.

Apropos of nothing: Those are some big-ass houses! When you look at the backyard versus the size of the house, they are really packed in there. Maybe I’m used to bigger lots, living here in Fallbrook, but jeez.