The median home price in California has dropped about 22% compared the same time a year ago (http://www.car.org/index.php?id=MzE3ODY=). The sale volume has dropped 30% and the median time of the for-sale home on market increased 120% compared to a year ago. As you can see from the figure, the real crash of the California house market started last September and is getting worse. The median home price slashed almost 10% in only just one month in January. It is possible that the net value of most home owners who bought the house in last two years is now in negative territory even they put 20% downpayment. This means that this house meltdown has not only damaged the subprime loans, but also the prime loans. The damage is still enlarging!
