Americans Still in Fear of Home Prices Drop

Americans are still in fear that prices will drop steeply even after the Fed's efforts to revive the economy the real estate sector are going on full fledged, according to a poll here.
The Reuters surveyed homeowners who forecast their home values would fall by 2.2 percent in the year ahead.

The decline in home prices in March has been more than the expected 1.9%.Ever since the housing bubble burst, there have been heavy losses in the stock market and massive job losses across the US.

Consumers in the US are still nervous about home prices. The chances of the US recession ending this year have become bleaker in such a case.Analysts say that the fall in home prices in the country has been so sharp that it will take years to completely erase the negative wealth drag.

House Prices in the US have tumbled more than 26 percent since their peak three years ago.