I meant to say a decade after the trough before prices get back to the peak.
Perry – Thanks for clarifying. Now it makes more sense.
By the way, regarding the comment that you are long on RE. People need to realize that when you buy a house near the bottom of the market (e.g. mid-1990’s) it might make sense to keep it, especially with CA’s property tax structure.
n_s_r is right in regard to pre-2001 purchases. People who bought during that time should do well under most scenarios.
