I completely agree with you. I have been looking exclusively in the Hancock Park area for almost 6 months, and have been familiar with the area for 20 years. I have made the same calculations that you have. Houses are still listed at prices much inflated from the peak of the real estate boom. Sellers are listing their houses as if the bubble never burst. My opinion is that when sellers see that their neighbors sold their house at a very high price last year, they assume they should get more. It makes no sense, but the law of supply and demand dictate that a house is worth whatever someone is willing to pay for it. I still think that the prices are overly inflated, even in this great neighborhood. I have no idea what kind of people can afford these houses, but I wish that they would stay on the Westside. All I can hope for is that buyers, like you and me, hold our ground, and do not buy at these overly high prices. When demand goes down, prices will go down.
No offense, but I don't take much stock in what real estate agents have to say. They have a vested interest in keeping prices high. Additionally, I don't believe in "comps." In this time of economic uncertainty, what a house sold for last year, or even last month, has no predictive value in what the house will sell for today or next year.
Finally, I remember in the 90's when houses in HP were just sitting on the market. That was less than 10 years ago. I'm waiting it out for prices to come down to Earth.