“Home prices in Bend appreciated faster than prices in any other city in the nation in 2006.” This is the lead story in Today’s Bulletin.
Buried deeper in the same story is this interesting fact: median home prices in Bend have fallen from “$380,500 on Bend sales that closed in September to $323,659 in January.” That’s a 15% price decline in only 4 months time (nearly 40% on an annualized basis). The drop in mean (rather than median) prices from its peak in June is even greater.
In the context of the recent, dramatic price declines, the way the headline should be read, then, is actually bearish rather than bullish. The bigger they come…