Homes in North County are now selling about 5 to 10% below the absolute peak numbers. I know that because I see it everyday. When those peak numbers occured differs from neighborhood to neighborhood but most peaked before or by the end of 2004. As for homes selling at 2004 prices, it really depends. Some are a bit higher and some are a bit lower but it general prices are where they were in Spring 2004.
As for the comment that Jim the realtor said prices are down 20%, that is a complete misinterpretation of what he said. He said homes will sell about 20% below sellers unrealistic expectations. By this he meant that sellers over estimate the value of their home and think it should sell for more than their neighbors (thus 5 to 10% above previous peak numbers generally occuring in late 2004/early 2005) when in fact they are now selling for less than last year (5 to 10% drop since Fall). Thus sellers false belief that prices went up + sellers not knowing prices fell=unrealistic sellers overpricing homes as much as 20% out of the gate!
