27% off peak in San Clemente

Here's another former million-dollar property-turned REO in San Clemente. Now, once it gets resold we're assuming it will join this growing list: Properties that used to be worth $1 million or more but after a recent sale no longer are.

308 Avenida La Costa, 92672
Asking price: $949,000
Asking price/ sq ft: $411
Bank purchase price: $1,147,636
Purchase date: 12/12/08
Size: 3 beds, 2 baths, 2,307 sq ft (built in 1965)
MLS: S562360 (1 day on Redfin)
Zillow Zestimate: $1,151,500
Type: Single Family Residence
Style: Contemporary
Stories: 1
Lot size: 10,400 Sq. Ft.
From listing: Gorgeous 3 bedroom 2 bath home in the wonderful Riviera District! This beautiful home offers an open floorplan with wood flooring throughout and Gourmet kitchen with granite counters. Master Suite opens to private in-ground spa, perfect for enjoying the wonderful view.

This property previously sold for $1.3 million, or $564 per square foot during the bubble in 2005. The previous owner put 20% down and financed the remaining $1,040,000. A second loan was added in 2007 for about $246,000. In 2008, the default came on the first loan.

Assuming the property can be quickly sold for the current full asking price, it would mean a depreciation of $351,000 or 27% off the peak price.