Half of all agents and brokers and forty-two percent of homeowners think that home values will decrease over the next six months, a huge increase in price pessimism over the first quarter.
In the first quarter 2011 HomeGain National Home Values Survey, thirty-nine percent of agents and brokers and 30 percent of homeowners thought that home values would decrease over the next six months.
Thirty-eight percent of real estate agents and brokers and 43 percent of homeowners think that home values will remain the same in the coming six months.
Twelve percent of real estate professionals expect home values to increase in the next six months, down five percent from last quarter. Fifteen percent of homeowners expect home values to increase in the next six months, down nine percent from last quarter.
The HomeGain second quarter 2011 home values survey of more than 750 real estate agents and brokers and over 2,600 homeowners also found that homeowners and bueyrs continue to hold widely different views of home values.
According to surveyed agents and brokers, 77 percent of homeowners believe their homes are worth more than the recommended agent listing price but 67 percent of home buyers believe homes are overpriced.
"The current survey reflects that real estate professionals are resigned to accepting a market with declining prices being the norm rather than the exception. The past few years have been particularly harsh on the real estate industry and the majority of real estate professionals don't expect much improvement in the coming six months." said Louis Cammarosano, General Manager of HomeGain.