There are certainly an awful lot of factors that may have an impact on what happens to the valuation of SD real estate in the future. I really don’t know what precise path interest rates will take. I’m not sure how the SD economy will perform or how everyone’s personal financial situation will unfold in the coming years. I don’t know if Hezbolloh is going to blow up the Convention Center (but I hope not!). What I do know is that for the SD real estate market to implode 50-80% we will have to have years and years of vast amounts of sellers (not fishers, but those who really must sell) and a relatively miniscule number of buyers. Unlike 1990-95, I think the economy is strong enough to support buyers, who will in turn support pricing well before a 50-80% deflation. Just a guess, like what is set forth by everyone else on this forum.
