The Real Deal Miami

U.S. home prices to decline through 2011

November 01, 2010 02:15PM

Housing experts are predicting a nationwide decline in home prices, according to CNN Money, as weak employment, tight lending and the robo-signing fiasco hamper hopes for a comeback. Analytics firm Fiserv had been optimistic regarding market stabilization earlier this year, predicting in February a 4 percent gain by the end of 2011. Now, the company has reversed its sentiment, saying it foresees a 7.1 percent drop by mid-2011. Mark Zandi, chief economist with Moody’s Analytics, said he expects home prices across the country to be down another 8 percent by this time next year. If Zandi’s prediction comes to fruition, the total peak-to-trough decline would hit 34 percent. [CNN Money]