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Housing Solution: Crashing Home Prices or Cheaper Mortgages?

Prices would still have to fall significantly in more expensive markets, such as San Francisco and Los Angeles to return to any reasonable ratio between incomes and housing prices. Also, regional median price figures mask significant variation with regions. Most of the dramatic declines in pricing have been on the fringes, far away from jobs where buyers would be gambling on whether there will be a return to higher gasoline prices.