If you thought the housing crisis was bad, you’re right. Actually, experts say it’s worse!
New data just out from Zillow, the real-estate information company, shows house prices are falling at their fastest rate since the Lehman collapse.
Average home prices are down 8% from a year ago, 3% over the quarter, and are falling at about 1% every month. The percentage of homeowners in negative-equity positions, with a home worth less than its mortgage has rocketed to 28%, a new crisis high. Experts now predict prices will fall about 8% this year and say it no longer expects the market to bottom before 2012.
When will things turn around? There is no telling, last year everyone was saying 2012. Now it looks like it could be 2013 and beyond before we see some sort of improvement. Experts say, now is definitely not the time to sell. Instead, stay put and invest in your home. Replace the windows, remodel the basement, make an improvement that will increase your overall enjoyment. After all, you are going to live there for a little while longer, may as well enjoy it! The housing market will improve, as to when, no one can be sure!