Baton Rouge, La., tops the list of large U.S. markets that are expected to perform the best in home prices over the next six months, according to the Third Quarter Home Price Forecast by Local Market Monitor, a real estate forecasting solutions company.
The survey also identifies Buffalo; N.Y., Dallas; Fort Worth, Texas; Houston; Little Rock, Ark.; Omaha, Neb.; Pittsburgh; San Antonio; Syracuse, N.Y.; and Wichita Falls, Texas, among the markets that are expected to perform best. The survey finds that home values in these markets are generally below the U.S. average and are expected to remain level over the next six months. These markets also did not experience a big housing boom and have had relatively fewer job losses over the past year compared to other markets.
Fresno, Calif., tops the list of large markets that have the worst expected performance, followed by Las Vegas; Miami; Orlando, Fla.; Phoenix; Portland, Ore.; San Jose, Calif.; Stockton, Calif.; Tacoma, Wash.; Tucson, Ariz.; and West Palm Beach, Fla. These markets are expected to have the largest declines in home values over the next six months and are also among the markets that had the biggest price booms previously.
“Right now, a good market is still one where home prices aren’t going down,” says Ingo Winzer, president of Local Market Monitor. “However, this will change as the recession eases. Next year, we’ll see good price increases in many markets.”
Local Market Monitor also released its quarterly home price forecast for smaller markets.