That is my personal belief, and also the conclusion of the latest Winter 2009 Economic and Real Estate Trends Report
(PDF link) from PMI
Mortgage Insurance. The company's Market Risk Index, which measures the likelihood that prices will fall over the next two years, climbed in 369 out of 381 metropolitan statistical
areas in the third quarter. Not surprisingly, PMI
cited rising foreclosures and rising unemployment as the two key drivers of slumping prices. Markets in California and Florida had the highest risk readings, while markets in Texas and a few other isolated locations had the lowest.