Real Estate Home Value Reality Check
home values forecast
Fewer homeowners expect to see the value of their homes decline in the year ahead, but they also believe gains are unlikely, according to a survey by Thomson Reuters and the University of Michigan. About 15 percent of homeowners say they expect their home’s value to decline, down from 26 percent who said the same in the first quarter of 2009.
U.S. Home Prices to Fall 6%
US home sales
According to a report between Fiserv and Moody’s, the average home price in the United States will fall by about 6% by September 2011.
Mark Zandi, economist and co-founder of Economy.com said: “Foreclosure sales will pick up this spring as mortgage servicers figure out who can qualify for a modification and who can’t.”
Home Price Outlook
Too much supply and too little demand means fewer new homes built and lower margins. Meredith Whitney (is a prominent banking analyst. Whitney manages her own advisory firm, Meredith Whitney Advisory Group LLC, where she produces company-specific equity research on financial institutions and analyzes the sector’s operating environment. She was formerly a managing director at Oppenheimer & Co.) says home prices will fall another 25% and she has been right about everything else, so why not now? Barclays says 13%. Split the difference and you get 19%. In August, home prices for new homes fell 12% year over year.