There have already been a smattering of CV sales at or above peak pricing, and I said today that within two years the 92130 detached-home sales will be at or above 2006 prices:
Sept 2006: 32 sales, $370/sf.
Sept 2012: 43 sales, $326/sf.
Statistically, we’re only 13% apart in the numbers above, and we could make that up by the end of next summer. When the inferior homes are gaining steam that it really becomes apparently that prices are on the move. True, the house featured in today’s video hasn’t sold yet, but with only 22 resales listed under $1,000,000, it stands a decent chance of selling.
You said you had “DoubleBubbleInfo”? How about “EchoBubbleInfo”? 😉
Money printing = inflation
At today’s mortgage interest rates, your payment is 20% less than in ’06 for the same house. Add in the -13%/sf referred to by Jim and you could say CV is 33% off peak. Add inflation into the mix and it’s even more off peak in real terms.