Monday, October 26, 2009

Goldman Sachs Predicts Further Declines

By slowing mortgage foreclosures and giving a first-time home buyer tax credit, the U.S. government has driven up home prices by 5 percent, investment bank Goldman Sachs said Friday in a market report.

Goldman believes these supports won’t keep home prices up forever. “The risk of renewed home-price declines remains significant,” wrote Goldman economist Alec Phillips, “and our working assumption is a further 5 percent to 10 percent decline by mid-2010.”

Source: The Wall Street Journal, James R. Hagerty (10/24/2009)

No comments:

Post a Comment

Type your comment here.