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What will happen to home prices in Madison Park?

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According to Zillow, our "Zindex" (the median Zestimate in our area) was $790,302 for 1Q07, up 11.71% year over year. (Learn more here: http://www.zillow.com/quarterlies/QuarterlyReports.htm)
Do you think home prices in Madison Park will continue to appreciate? Or are we in for a flat or down period?
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July 10 2007 - Madison Park

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I think we are in for a flat period where only the best values move.  Even in our area, there are good houses sitting or dropping their prices.  I am also told that houses over $1 million sell slower in this market.  Madison Park obviously has alot of inventory over $1mm.

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September 15 2008
 

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