Housing Prices Will Drop Another 10 To 20 Percent

On Yahoo Tech Ticker, Gary Shilling stated that the housing market has not yet bottomed. Shilling is the head of economic research firm A. Gary Shilling & Company. According to Tech Ticker, Shilling "thinks house prices still have another 10%-20% to fall. He thinks this fall will happen over the next three years, meaning that house prices won't bottom until 2013." If housing prices have another 20% to drop, investors should avoid buying real estate related stocks for now. There will be no boom in new home construction until excess inventory is sold.