Home Prices May Already Have Hit Bottom

The “leading economists” who participate in the National Association of Business Economics (NABE)’s October 2010 Outlook survey assess the housing market recovery as “tepid overall” but believe that “home prices have hit bottom,” claims the NABE report, released yesterday[1]. These analysts are professionals with firms like Moody’s and Fannie Mae. While the figures and estimates from the 46 analysts were collected before the foreclosure moratoria were implemented, the fact that Bank of America has already resumed foreclosure proceedings in 23 states and predicts that only about 30,000 foreclosures will be delayed at all provides some home that the freeze will not have the long-term, negative effects – like a double dip – on the housing market that had been predicted.

NABE predicts a gain in home prices of 1.2 percent in 2011 along with an improvement in unemployment in 2011 from 9.5 percent to 9.2 percent.

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[1] http://shortsaledailynews.com/key-economists-say-home-prices-have-already-hit-bottom/