House prices will eventually settle back to sustainable which is about 2 to 2.5 times yearly income.
Based on census incomes, I calculate the median house
in Roseville will be $50 sqft
in Rocklin $75 sqft
and Granite bay $90 sqft
But Credit markets ALWAYS over correct first and if you add in the uncertainties:
bad, unsure economy, massive job losses, retiring baby boomers selling and downsizing, higher medical costs, higher taxes, higher energy costsâ€” causing massive inflation on everything we need, and a bad attitude toward home ownership since the majority in the housing industry is dirty and UNETHICAL
â€” prices will WAY over correct. This is just common sense and math.... more