According to mortgage insurer PMI Group, Florida home prices are expected to fall in more than half of the largest cities in the U.S. through the first quarter of 2011.
According to PMI’s affordability index, Miami, Fort Lauderdale and West Palm Beach are among the top high-risk metropolitan statistical areas (MSAs). They each have a 99.9% chance of lower prices in 2011.
David Berson, PMI's chief economist and strategist stated in a news release, "Rapidly rising foreclosure and unemployment rates, continuing declines in Florida home prices, and fading consumer demand all worked to increase risk in the general economy, and the housing market specifically. As a result of the continued weakness in prices, and the relatively low level of interest rates, improvements in affordability across the nation's MSAs will continue to incentivize repeat and first-time homebuyers back into the market."
Contributed by Miami Luxury Villas
