Watch out, Stockton

Coming to any conclusions about next year's housing market has become a thankless exercise because many of the numbers are conflicting and confusing. Nevertheless, Fortune asked Moody's Economy.com and real estate valuation company Fiserv Lending Solutions to offer up their best guesstimates for 2007 - and Stockton has emerged as the area poised for the biggest drop. Prices are expected to fall 7.1 percent next year and 5.3 percent in 2008. The L.A.-Long Beach area is expected to take the fifth worst fall - 5.4 percent in '07 and 4.6 percent in '08 (six of the 10 worst decliners are in California). "It's possible that the broader housing market will firm in the next few months, that the worst is over," Mark Zandi, chief economist at Moody's Economy.com, told Fortune. "But that to me is a dead-cat bounce" (financial-speak for a temporary recovery from a declining market, followed by further declines). Well, maybe. But keep in mind that so much of real estate is super-local, which means that the action in your neighborhood might be significantly different than the action in mine. Anyway, for what it's worth, here are the 10 housing markets ready for a fall (and their projected declines in 2007:

Stockton -7.10%
Las Vegas -6.60%
Bakersfield -5.50%
Santa Ana - Anaheim -5.50%
Los Angeles - Long Beach -5.40%
Miami - Miami Beach -4.90%
Sarasota - Bradenton, Fla. -4.80%
Oakland -4.60%
Fresno -4.60% -4.30%
Fort Lauderdale -4.30%


More by Mark Lacter:
American-US Air settlement with DOJ includes small tweak at LAX
Socal housing market going nowhere fast
Amazon keeps pushing for faster L.A. delivery
Another rugged quarter for Tribune Co. papers
How does Stanford compete with the big boys?
Those awful infographics that promise to explain and only distort
Best to low-ball today's employment report
Further fallout from airport shootings
Crazy opening for Twitter*
Should Twitter be valued at $18 billion?
Recent stories:
Siri versus Hawaiian pidgin (video)
Letter from Down Under: Welcome to the Homogenocene
One last Florida photo
Signs of Saturday: No refund
'I Am Woman,' hear them roar

New at LA Observed
On the Media Page
Go to Media

On the Politics Page
Go to Politics
Arts and culture

Sign up for daily email from LA Observed

Enter your email address:

Delivered by FeedBurner


Advertisement
Mark Lacter
Mark Lacter created the LA Biz Observed blog in 2006. He posted until the day before his death on Nov. 13, 2013.
 
Mark Lacter, business writer and editor was 59
The multi-talented Mark Lacter
LA Observed on Twitter and Facebook