Published: 9th September 2013
Some good news for people looking to invest in the US property market, as a new report out from Goldman Sachs has predicted that the US property market will eventually bottom out in the second half of 2012. The report, which has been compiled by two leading analysts also predicted that the US market S&p/Case Shiller Index will see further falls between now and next June of between 2.5 - 3.5%.
The report was based on a sophisticated model of house prices in the US throughout 147 different regions, in combination with contributing factors including population levels, average incomes, borrowing and construction costs. Based on the data shown in the report, the analysts Hui Shan and Sven Stehn predicted that the US real estate market will reach equilibrium level by the middle of next year before returning to growth.
Shan and Stehn went on to predict that Miami, Detroit and Cleveland will be amongst the strongest performers over the next two years, with growth of up to 5% in certain areas.