There is no evidence of price declines in any California markets at this point, though, "If we do see price declines, where we would probably look for them first is in the condo markets," Conway said. Bostic said, "I've been concerned about downtown San Diego for a long time, particularly in the condo market." He also said the luxury real estate market may feel the weight of the housing slowdown more than the general market. But he said he is generally bullish on the housing sector, and he noted that the Lusk Center is not predicting a recession. "I don't think price declines are likely at all, absent significant job loss," he said. As available land dwindles and housing affordability worsens in California, Gabriel said he expects that buyers will increasingly gravitate toward multi-family dwellings.
