This country is littered with once-great neighborhoods that have declined for a variety of reasons. Neighborhoods where in their prime it was inconceivable to most that there could be such an eventual result. As it has been, as it always will be.

The wonderous built-out NYC, THE city post-WWII, began its decline in the 60’s and was significantly mired for at least 20 years until the resurgence of Wall St., though some would say it was mired for 30 years until Guiliani stepped in. Inconceivable. Now NYC is faced with its own RE bubble and a severe budget problem. NYC may be on the precipace of another great downturn.

Regarding coastal SD RE, haven’t attached homes devalued significantly? How can this be if the area is immune? Or is it only SFRs that are immune? Or only the very top 1% of SFRs with views and big lots and etc etc? What is the criteria to be immune?

Personally I beleive that in the end there will be plenty of suffering and devaluation to go around, including those who beleive they may be insulated because of their zip code, school rating or their view.