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- Mark Vitner, a senior economist at Wells Fargo Securities LLC
Economists expect home prices to decline at a slower pace in forthcoming months with prices reaching a bottom in the middle of 2012. Property prices declined 3.2 per cent in October, compared to the same period last year.
"We'll continue to see prices drop," said Mark Vitner, a senior economist at Wells Fargo Securities LLC in Charlotte, North Carolina. "The middle of 2012 is when we think prices will actually bottom."
"We need a higher level of confidence to get back to the traditional move-upstream or first-time buyer out of the rental," said Jeffrey Mezger, chief executive officer of KB Home.
"A lot of consumers are surprised, frankly, at how low home payments are compared to rent."