Houses in Taylor still seem to ring in at about $68,000 and I don't see that changing anytime soon. People are not beating down the doors to move there.
The more desierable areas like Plymouth, Northville, and Bloomfield Hills never really saw the same type of dramatic losses that other parts of town did and they are moving up at a sustained pace.
As to homes costing as much as in other hot areas? I doubt it. Not for a LONG time.
I was just tooling through San Jose, CA here on Truila and couldn't believe that a 1,200 sq. ft. brick ranch on a 50-ft wide lot runs about $600,000!!! That same home, even in Plymouth, will ring right in under the $200,000 mark.
In order for this area to be priced as high as what I was seeing in California we'd have to see 50% gains per year for 3 years. That's not going to happen. For one thing, the way appraisals are done now, they wouldn't let the homes appraise for that high that fast. The appraisers would throttle the market back. For another, if homes got that pricey, there would be an urban renewal as people moved back into Detroit just like Dan Gilbert thinks is going to happen. You can still get homes that need just a bit of work in the City for $5,000 to $15,000.