First it was 2009, then 2011, now it's 2012. That's when Zillow is predicting the housing market will bottom.
We’ve revised our forecast for the total home value decline nationally in 2011 to 7-9 percent (previously 5-7 percent) and our forecast of the bottom from late 2011 to 2012 at the earliest. As always, our expectation post-bottom (where we define the bottom as the end of consistent monthly depreciation) is for a long period of below-normal real estate appreciation during which time we work out the remaining overhang of excess housing supply.Zillow's Q1 Housing report has more bad news. First, housing depreciated 3% in Q1 2011. In March 2011, foreclosure re-sales were 23.7% of all home sales. There are 2 million homes being foreclosed on and 1.5 million more in delinquency. The 3% Q1 decline in home values is as bad as 2008 and the cumulative drop in home values is now 29.5%.
Nearly three-quarters (74.5 percent) of homes in the United States lost value from Q1 2010 to Q1 2011. That’s up from Q4 2010, when 69.2 percent had lost value, but is down substantially from a peak of 85.5 percent in Q1 2009.37.7% of homes were sold at a loss in March 2011. Negative equity, or mortgages under water, was 28.4% for Q1 2011. This is what happens when one has a never ending jobs, income crisis. People cannot pay their mortgage, and the report notes the lack of good paying jobs is extending the housing market collapse. There is more, graphs, multimedia, on the Zillow website. One of the most frightening graph are foreclosures per month as percentage of all homes.