1997 prices in a good neighborhood in San Diego? As much as I’d like to see that, it’s not going to happen. Incomes are up 30-40%, interest rates are lower than in 1997, and there was not enough overbuilding to drive prices down.
esmith makes a point that the uber-bears seems to miss. Even in a relatively flat inflation environment, a decade of mediocre wage increases can add up.
Take 1995-97 prices, account for salary increases measured in nominal dollars and you’ll probably get pretty close to guessing the bottom of the market.
