TW: We have all heard for our entire lives BS about the immutability of real estate investments. These numbers should make one fairly skeptical of those claims. They symbolize the massive Ponzi scheme Americans (and many internationals) have participated in since about 1980 or so. Keep in mind these are nominal figures, if one were to inflation adjust the dates to which one would have to go to achieve break even would be farther back (1980's maybe 1970's for Detroit, 1990's for most others). Real estate figures by market:
From Floyd Norris at NYT:
Depth of Decline/How far back the decline takes you to achieve break even (nominally)
1. Phoenix -49%/February 2003
2. Las Vegas -46%/May 2003
3. Miami -43%/October 2003
4. San Francisco -43%/October 2000
5. San Diego -41%/August 2002
6. Los Angeles -39%/October 2003
7. Detroit -39%/August 1996
8. Tampa -37%/March 2004
9. Washington -32%/March 2004
10. Minneapolis -30%/June 2001
Twenty city composite -29%/October 2003
11. Chicago -22%/June 2003
12. Atlanta -20%/June 2001
13. Seattle -20%/September 2005
14. Portland -18%/August 2005
15. Boston -17%/April 2003
16. Cleveland -17%/August 2000
17. New York -16%/October 2004
18. Denver -13%/April 2002
19. Charlotte -11%/March 2006
20. Dallas -11%/May 2002
http://norris.blogs.nytimes.com/2009/03/31/how-low-can-they-go/
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