An almost unbelievable series of events occurred the rowhomes where I live.

No significant sales have been occurring. The last one was about a year ago, for $459,000 or so. Several people had paid more than that.

A few weeks ago, two units went on the market. One was listed at $470,000, the other for $449,000. The less expensive unit had received a Notice of  Default. It sold a short time ago for $350,000. Meanwhile, the more expensive unit had dropped its price to $419,000.

A couple of days ago, yet another unit went on the market for $339,900--less than the home in foreclosure.  I believe, but haven't verified, that some owners here may have mortgages exceeding the $339,900 asking price.

All owners may have lost 25% of their homes'  value in the space of weeks.  Put another way, each owner may have seen $120,000 evaporate.  Worse, some of them may now be upside down,should the sale of the $339,900 occur.