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Wednesday, December 5, 2007

Fannie Mae Raises Home Price Decline Forecast to 5%

Now Fannie Mae is saying that home prices will decline 5%.  That's on top of the 3% through end of the year.  The drop is going to be nationwide. 

No wonder Fannie is cutting is dividend and planning a $7billion sale of preferred stock.

It said single-family serious deliquincy rates are increasing.  This will increase pressure on the pricing. 

If you ask the morons at NAR, they will tell you it's still a great time to buy. 

http://www.bloomberg.com/apps/news?pid=20601087&sid=azX1YZtWO_ns&refer=home

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