Dive summary:
- Analysts at Bank of America Merrill Lynch are now projecting that house prices in the last three months of this year will average 5% above the last quarter of 2011 when Case-Shiller data is released.
- A couple of months ago, the analysts were predicting a 2% gain, and that also was an increase from their earlier outlook.
- In the twisting world of home prices, BoA's experts think that home prices will be flat from the third to the fourth quarters of this year and may slip 1.6% in the first quarter of 2013. Over the next decade, however, they say they expect annual appreciation of 3.3%.
From the article:
Bank of America Merrill Lynch ... revised its housing forecast upward due to a better alignment of supply and demand, and now predicts the S&P/Case-Shiller Index will increase by 5% in the fourth quarter over 4Q 2011. ...
