When looking at the normal indicators used throughout the real estate industry, you can get deceived. Looking at the recent median sales prices, you might think the market is steady:
If you look at the cost-per-sf, you can see a downward trend in the cheaper homes, but those over a million dollars still look to be holding their own:
It’s only when you look at the distribution that you see the squishdown. The under-$1,000,000 sales have been increasing, now up to roughly the same as they were in 2005, but the over-$1,000,000 club had less than half the number of sales as in 2005:
You can say pricing has come down, or that you’re getting more for your money.