Wednesday, February 13, 2008

Goldman Sachs says US house prices may fall by as much as 25pc from peak to trough

US credit crisis escalates as defaults spread

US house prices have fallen by 7.7pc over the past year, according to the Case-Shiller index of the 20 biggest cities. The slide is likely to gather pace as 2.2m mortgages taken out at the height of the credit bubble adjust upwards by 250-300 basis points. Goldman Sachs says house prices may fall by as much as 25pc from peak to trough - creating the worst slump since the Great Depression.

Posted by sold 2 rent 1 @ 09:35 AM (550 views)
Please complete the required fields.



3 thoughts on “Goldman Sachs says US house prices may fall by as much as 25pc from peak to trough

  • 25%? And the rest!

    Reply
    Please complete the required fields.



  • This quarter?

    Reply
    Please complete the required fields.



  • The label “subprime” is just that. A label. And an especially bad one.

    What we face here is a mispricing of risk. Period. Especially to those who are “over-levered”

    The idea that “unemployed black men in string vests sitting on a porch in Alabama” are the root cause of this is nonsense. That segment of the market was always dwarfed by the so-called “middle classes with good-credit” who just wanted that bigger house, better car, more exclusive holiday and more nights out at restaurants.

    Reply
    Please complete the required fields.



Add a comment

  • Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
  • Please note that any viewpoints published here as comments are user´s views and not the views of HousePriceCrash.co.uk.
  • Please adhere to the Guidelines

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes:

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>