BG, here’s some numbers. I haven’t cherry picked, and these are all “immune” La Jolla and post bubble prices.

Dec 29, 1988 Sold (Public Records) $620,000 Jul 09, 2012 Sold (Public Records) $1,085,000 75% more expensive over 24 yrs
Dec 28, 1999 Sold (Public Records) $650,000 Jul 03, 2012 Sold (Public Records) $1,045,000 60% more expensive over 13 yrs
Mar 01, 1995 Sold (Public Records) $275,000 May 25, 2012 Sold (MLS) $1,110,000 300% more expensive over 17 yrs
Oct 12, 2000 Sold (Public Records) $795,000 Jun 19, 2012 Sold (Public Records) $1,125,000 42% more expensive over 12 yrs
Jan 25, 1995 Sold (Public Records) $375,000 Jul 03, 2012 Sold (Public Records) $1,268,000 238% more expensive over 17 yrs
Oct 10, 1991 Sold (Public Records) $568,000 Jun 11, 2012 Sold (Public Records) $1,275,000 124% more expensive over 21 yrs
Mar 10, 1988 Sold (Public Records) $340,000 Jul 02, 2012 Sold (Public Records) $1,280,000 276% more expensive over 24 yrs
Jun 30, 1989 Sold (Public Records) $530,000 Jul 24, 2012 Sold (Public Records) $1,350,000 155% more expensive over 23 yrs
Jan 20, 2000 Sold (Public Records) $810,000 Jun 01, 2012 Sold (Public Records) $1,335,000 65% more expensive over 12 yrs

Av 148% more expensive, av time span 18 yrs

How do you get to the low to mid six figures, to seven figures in less than two decades …post bubble?! Interest rates? Wages? Inflation? Population? So I don’t think it’s that prices were always high, just things have changed. Perhaps prices weren’t allowed fully to correct? If so, how does that bode for the future? And the biggy …does it mean homes are still over-priced? I rest my case 🙂

Yes, I’m well out of it, but I hope that doesn’t exclude me from the debate.