Were in Oakland you are looking will greatly affect the median price. Oakland is a very diverse city and pretty large geographically. Right now you can buy a house for $60,000 or $100,000,000 ++. Location is the big differential. Certain neighborhoods are considered highly desirable and home prices are in the $700,000s to over a million. In areas that have been hit harder with foreclosures you will see many homes listed at $200,000 and below.
Yes prices have softened and in some areas much more than others. When looking at the median price overall for Oakland, keep in mind this is the median based on prices throughout the city. Because there are so many distinct areas of Oakland, looking at one number for the whole of the city does not give a truly accurate picture. I find it best to look at the particular neighborhoods you are considering and look at the data for those particular areas to get a more accurate picture of the market for the neighborhood you are looking. This will help to give a better picture for the homes values and the market where you are looking.
Hope this helps,
Alain Pinel Realtors