Clarence, From what I've seen the prices up here are still increasing, I've had the same experience as you, moved up here 3 1/2 years ago and our house has tripled in value. Alot of the old timers are selling at the higher prices and getting out of state, but we still have a great influx of younger families coming in from L.A. and Orange county.
I think your friends will do pretty well, one of my neighbors is thinking of making the same move to Colorado, and getting ready to list their house for 3 1/2 times what they bought it for.
