Many people have suggested that waterfront property values would never go down. The logic was that “they’re not making any more of it”. It turns out that didn’t turn out to be the reality. Around 2006 waterfront property sales began to slow, but initially the sales prices themselves didn’t appear to drop. But in the last year, not only has the volume of sales gone down but so have the prices. Bank owned waterfront property is becoming less of a rarity but for now, short sales seem to be the order of the day.