As reported by the Wall Street Journal, Zillow’s home-value forecast released on Thursday, February 9, predicts a drop in home values of 3.7% this year. Although the article notes that a shrinking inventory may be a bright spot for sellers, it points out that we can’t be too optimistic.
But finding bright spots in this housing market can seem like a futile effort since values have fallen, nationally, 24.2% from the peak and foreclosures remain a huge obstacle blocking any potential rebound. CoreLogic reported Wednesday that, in December, 1.4 million homes, or 3.4% of all homes with a mortgage, were in the foreclosure inventory
Zillow has also prepared interactive charts to show how the home outlook breaks down by market.