I see entry level homes and higher end homes doing the best. starter houses priced right and luxury homes are priced cheaper than you can build!
Right now homes in the $600,000-$700,000 range are moving. I just sold a home near downtown that was priced at $719,000 before it went on open market- I knew of an agent working with a motivated transferree buyer, and they bought. This is happening now because the transferree buyers are starting to buy, looking to close and move in this summer before the new school year starts .
We've had fewer sales, and at slightly reduced prices (94-96% compared to 2006), but we've seen a bit of a resurgence in the last few months, which are typically dead, so we're somewhat hopeful that the spring market will be decent. We were down, but we're not out! :--)
cross your fingers for us, willya?