Earlier this month, in the face of the dreaded "double dip," Zillow revised its forecast,
putting off recovery to 2012, at best.
See where this is going?
The latest bet is on 2014 -- or later.
Probably later.
A survey by Trulia and
RealtyTrac reveals 54 percent of American adults believe 2014 will be
the year the housing market begins to return to the gold standard.
Six months ago, a previous survey found that 42 percent of American
adults said they thought the market would turn around by 2012 or had already
turned around. Now, only 23 percent continue to think this will happen.
"Most Americans, as our latest survey revealed, over estimated how
quickly the housing market would bounce back, but when it does, it will
likely be a long and gradual process. Looking at the recent double dips in
home prices, I expect the rest of 2011 to be volatile for real estate,"
said Pete Flint, co-founder and CEO, Trulia.
The housing market remains sluggish for a variety of reasons.
Mortgage relief programs from the government and the private sector just
can't hack it under the thumb of tight lending rules. Unemployment remains
high. The supply of distressed homes is going nowhere fast.
Rick Sharga, senior vice president of RealtyTrac said, "Demand remains
weak, loans are increasingly difficult to qualify for, and the shadow
inventory of several million distressed properties is weighing down the
market. All of these things need to improve before housing can recover."
The survey also found 45 percent of American adults say the government is
not doing enough to prevent foreclosures.
About one in three home \owners reported they have or know someone who
has applied for or received a loan modification, stopped paying their
mortgage, foreclosed, walked away or short sold their home.
"On the flip side, mortgage rates won't stay low forever and even if home
prices continue to fall for a bit, now is still a good time to enter the
housing market. In my eyes, we have another 18 months until we start to see
signs of price stability in the housing market," Flint said.
Eighteen months, 24 months, three years?
Keep in mind, these forecasts, predictions, and crystal ball gazing only
consider stability, the beginning of recovery, the bottom of the market.
A grim study last year from Fiserv Case-Shiller says the housing crash
won't correct to boom-time levels of 2006-20007 until 2025 in major metro
areas of some of the nation's worst hit housing markets.
The good news? If you've got the cash or can land the financing it's
the
best time in decades to get a piece of the American Dream.
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