I’ve lived in Temecula for 6 years. I’m expecting the price drop in the IE to be on the order of 50-60% in real dollars (adjusted for inflation). Moving out here only makes sense if it’s cheap and commuting costs/times are reasonable. None of those things is true about the IE anymore. Cheap prices will have to come back since that’s the only way anyone with any sense would buy out here. Since 2000, housing prices have more than doubled and mello roos have gone through the roof while traffic has become almost ridiculous and gas prices have doubled. Considering the worsening traffic and gas prices, I think houses in the IE are actually worth less now than they were in 2000 – that would be a 50-60% drop. At that level, I would *consider* buying here again.
