The U.S. housing market hit bottom this year and will remain flat until 2014, when it will start to slowly recover, said Rick Sharga, an executive vice president with Carrington Mortgage Holdings.
“We’re looking at a catfish recovery,” he told attendees at the Asian Real Estate Association of America conference in San Francisco Friday, saying the market will bump along the bottom for some time before starting to revive.
More than a million foreclosure actions that should have taken place this year have not yet moved forward, and that delay pushes a resolution of the housing market’s problems into next year and beyond, he said, citing data from RealtyTrac, where Sharga served as a senior vice president until this week.
Comment from Bob Karp of Karp Properties LLC: For the last two years we have heard that the market has hit the bottom. All the ‘experts’ have been wrong. Of course, exactly what the market bottom is can be open to interpretation. My take on this is that we probably will not have another 10% price drop, but sellers should be aware that in a given market there will be price weakness. Do not expect significant price appreciation in the short term. Sellers should make decisions based on today’s reality rather than hoping for some miraculous change in the near-term.