According to recent data, the median home price in Southern California is now $285,000, down from the all-time high of $505,000. That's a difference of $220,000; and as prices continue to fall, this difference approaches the new median price. This unhappy fact means that any poor soul who bought a home at or near the all-time high (and hundreds of thousands did) is enslaved to a mortgage on a house which for all intents and purposes has been chopped in half. What a deal! An analyst predicts that home values will continue to fall to at least 55% below the high, and as the depression worsens there may be no real bottom. Debt slavery and continuing impoverishment are the future of California.
All this in a state whose governor and legislature are trying to raise taxes to cover vast budget deficits rather than cut spending. How many turnips will they try to bleed before the fact that California's economy is crashing penetrates those lead-lined skulls in Sacramento?
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