Bank of America's "2012 Housing Market Outlook Report": National real estate will fall another 7% next year

Bank of America's "2012 Housing Market Outlook Report": National real estate will fall another 7% next year Bank of America Merrill Lynch real estate market analyst Michelle?#36808;ye...

Bank of America Merrill Lynch real estate market analyst Michelle?#36808;ye released the "2012 Housing Market Outlook Report" on December 5, stating that the crisis in the U.S. real estate market is far from over. There are still a large number of foreclosed properties for sale or to be liquidated. It is expected that from next year to the first quarter of 2013, U.S. real estate prices will continue to fall by 7% on the current basis.

Bank of America Merrill Lynch Securitization Products Research Group data shows that since 2007, about 6 million homes have been liquidated in the United States; it is expected that in the next four years, another 8 million homes will be liquidated, and a total of 14 million homes will be ineligible for mortgage foreclosure, accounting for about a quarter of the total mortgage loan purchases during this period.

Meyer said that currently, it takes an average of 25 to 30 months for non-agency mortgage loans across the United States to be transferred into liquidation procedures that cannot repay on time, which is more than double the time required before the financial crisis.

Due to the large backlog of foreclosed houses and the intensified difficulties in foreclosure liquidation by relevant agencies, 2013 will become the worst year for the U.S. real estate market.