If you ask how long you’ll be at the the bottom then you will be at the bottom for quite some time.

Real estate has always been boring in the sense that it is a long-term game. It was only during the recent run-up that real estate got some cache.

Those days are gone for good.

Remember, the long-run average annual price appreciation rate for real estate is 1%-2% above the inflation rate. My expectation is that over the next 10 years, real estate simply keeps up with inflation- there will be no appreciation.

My opinion is based on macro factors including a continued weak economy, high taxes, high commodity prices and high energy prices.

For context, I write a blog on: San Diego Property Management

Cheers!