Deep-Discount Domiciles

30-month price drop: 19 percent
Median home price: $108,000
Foreclosure rate*: 5 percent

Atlanta's foreclosure rate is up 37 percent over last year. But investors are flocking to the southeast burbs, where prices have fallen by half, says Re/Max agent David Schenck. Exhibit A: eastern stretches of Decatur, where a $35,000 three-bedroom ranch home can rent for $800 a month. (Schiller likes a pricier area surrounding Washington Memorial Gardens cemetery.) A riskier option is Atlanta's historic West End, a gentrifying area where prices have fallen 75 percent after a spate of mortgage fraud.

Forecast: Decline is slowing.

*Annualized

SOURCES: REALTYTRAC; LOCAL MARKET MONITOR; NEIGHBORHOODSCOUT; S&P/CASE-SHILLER HOME INDEX