My experience from my real estate agents days was that the lower end stays firmer the longest in shakeouts. The reason for this is owners at the higher end sell and buy back in - lower down the value spectrum. Those sellers in turn do likewise and so on. All trying to reduce their mortgages. This puts pressure on the lowest end.
The other point to keep in mind is that the general market never realises the bargains being snapped up in private (non auction) sales by astute investors. Once a buyers market is here you can really make some money.
