I think half of it is seasonal. If you look at past years there’s nearly always a tail off towards the end of the year. But these are quite large drops and if you remember these are three month averages, there’s some pain in there somewhere.

Looks like sentiments for depreciating home prices are as strong as ever, and coupled with the media attention this is getting, it will feed into deflation, as sideliners take stock and pull back again. Even a 0.25% decline a month on a $800k home is worth holding out for.

CA real estate is still over-priced, and buyers will vote with their check books. Counter arguments are counter productive, as they are perceived as a threadbare mantra of the pre-internet epoch. Best just go with the flow, and people with trust again.