One beach-front neighborhood in the 33308 zip code in south Florida tells the tale of an epic 4-month real estate crash.

According to the actual value of one random sample dropped 17% in the LAST 4 MONTHS, losing $207,000 of value.

Annualize that! I get a 51% drop from October 2008 ($1,070,000) – October 2009 ($535,000), at the present rate of decline on this sample, all other things being equal.

These data don’t necessarily coincide with all other examples in the neighborhood, as value is only determined by the next buyer’s willingness to pay (or the fire sales that occur through foreclosure), so who really knows. HOWEVER…

Other homes (dry lots) selected at random have dropped 14%, 7%, 11%, 15%, 18%, 15%, etc. – in the past four months, whereas randomly selected waterfront home values have dropped 29%, 7%, 45%, 3%, 12%, 26% ALL IN FOUR MONTHS!

I dare say there has never been such a rapid crash in real estate prices in history, though I suspect New York City is due for a similar or worse fate over the coming four months.