Eddie,
I was thinking the same thing.
Yes, real estate prices are insane now. And, all houses should be priced lower than they are. But, they're selling. A house in our neighborhood just sold for well over $300,000. Nice enough house; needed a little work. Decent neighborhood. But, that price was crazy. But...someone bought it. Fast!
We bought our house, maybe thirteen years ago. We could never afford to buy this same house today. And, honestly, prices were crazy when we bought!
In today's market, at least where I live, $250,000 for that house? Provided it's in a fairly decent location, would probably start a bidding war, and end up selling for over the asking price.
It's crazy, but it seems to be the "new normal". I feel sorry for young, first time home buyers, who have never seen a decent, affordable house.