[yes, I've been swamped for the past month; not at all what you'd expect from Realtors®]
I don't 100% agree with the recession simply because while I fully see it's impact, I also see many people who have not been impacted, and I see several neighborhoods where prices are stable (though, yes, I see many where prices have taken the express elevator down)
I do like Richard Florida's thinking and was recently listening to a discussion he had on NPR. I've included it here (as well as the original Atltantic Monthly article) and he speaks almost tangentially about the Washington DC area.
Regardless of larger economic forces, real estate has been, and continues to be about location. (I can't say it 3 times, but you know I want to). Location involves the home, schools, jobs, transportation, the whole basket.