By 2011, nearly half of U.S. homeowners will owe more than what their house is worth, according to a report released Thursday.
“I would be surprised if it gets that bad,” analyst Mark Zandy told NPR Thursday. “It’s bad and it’s going to get worse but it sounds a little pessimistic to me.”
The report suggests seven markets may even find 90-percent of borrowers underwater. You can breathe easy, San Diego is not among them. The markets listed are Fort Lauderdale, Miami, Merced, Modesto and Las Vegas.
Buckle in for this last factoid – home prices are expected to decline another 14 percent on average according to the analysts.