Housing prices crashing in CA.

[Figment 07]

This thread has become a (fascinating, actually) discussion of the Zillow tool itself rather than houses!

Home prices in several states are mentioned now, so I'm moving this thread to the General U.S. forum category where I've seen other Zillow discussions and where I believe it will have even greater exposure and participation. Thanks!

[kettlepot]

Zillow estimates that my house is worth 15% less than my neighbor's house. The difference between the two? Age? Square footage? Lot size? No. My house HAS a garage and there's doesn't! There's more to Zillow than simply rooms and square footage, but I doubt they're going to reveal the secret formula to us. It also shows that Zillow is not the be-all and end-all of home value estimation.

My house has also declined about 15% from its 4Q 2004 value peak. I don't really care though because that still leaves the 10% increase from 1998, the 15% gain from 1999, the 20% gain from 2000, the 20% gain from 2001, the 20% gain from 2002, and the 25% gain from 2003. However, the 25% gain from 2004 has gone with the wind. Oh poor me. Hear my tale of woe! I'm a VICTIM!

[HBJohn]

Houses are not stocks. The word "crash" is probably inapporpriate. I would prefer to use the word decline. Prices will be declining for months if not years. And the way California goes is the way the rest of the country will go. So anywhere that is still rising is just behind the times. I think somebody said Seattle was up 10%. I would be so on selling at that point. In my opinion you would be getting out at the peak.

[the_pines]

Sorry I have to say I think realitors and investors are becoming as bad as crooked attorneys. To even hear some of the things these people say in such a callous way while lookling todays extreme inflation and insane housing costs makes me cringe.

[shannon94]

Originally Posted by HBJohn

And the way California goes is the way the rest of the country will go. So anywhere that is still rising is just behind the times. I think somebody said Seattle was up 10%. I would be so on selling at that point. In my opinion you would be getting out at the peak.

California has much further to drop than the rest of the country. I hope the people that are relying on their "equity" from the early 2000's didn't dip into that equity too often.

Normal appreciation is between 4 and 5 %........people have really been in a mindset lately that if you don't buy in an area that goes up 20% or more in a year ...your doomed.

Spring season has just begun......let's see what happens.