It was not all that long ago that the $100 sq/ft barrier fell. I did a post on October 10th 2007 where I listed a few homes that had finally gone under $100 sq/ft. Most of those were in San Jacinto, Murrietta, Lake Elsinore etc.
Here we are, less than 4 months later and there are homes selling for under $80 sq/ft. That's a 20% drop in only 4 months for the price leaders.
On to our price leader.
615 Drake DR San Jacinto, CA 92582, This is a 4 bed/4bath house. It's 2850 sq/ft and sits on an average lot of 7400 sq/ft. This home was built in 2005 and sold new for $425k. It has been listed as a bank sale for 155 days now. they started out looking to get thier money back but that did not work out so well for them. 4 price reductions later they are now asking $215k. That's $75 sq/ft and make this house 50% down from it's original selling price.
4440 THORNBUSH Hemet, CA 92545, This is a 5 bed/3 bath home. It's 3127 sq/ft and sits on a 6097 sq/ft lot. This one was built in 2002 and sold new for $212k. It sold last in Sept 06 for $420k. Before going back to the bank in Oct 07. Again they originally listed this a little too high and after 2 reductions they are currently asking $248k, that works out to $79 sq/ftI have no idea what homes rent for in SJ/Hemet but these tow have got to be close to penciling-out as rentals.
I did find several others but they looked like short sales so I'm going to leave those out for now. There are now a multitude of homes under $100 sq/ft and many of those are under $90 sq/ft. Still, most of these are in the out lying areas but like ripples in a pond they will work there way towards the more central areas. I'm still shocked by the speed of the price declines. I was sure the prices would come down but I was expecting it to happen over several years. Personally I think a quick deep correction is going to be far better for the economy that a long slow one. So, I'm happy to see the speed that this is moving at. Even though my house is probably worth 1/2 what it was last year.....