Want the Bad News First? You Got it.

Housing markets ready for a FALL...

Fortune asked Mark Zandi, chief economist at Moody's Economy.com, and real estate valuation company Fiserv Lending Solutions to give their take on what lies ahead for housing in the country's 100 largest metropolitan areas. They predicted that 36 of the 100 biggest markets are expected to see price declines.

The area poised for the biggest fall in 2007 is Stockton (CA), where prices are expected to drop by 7.1 percent and another 5.3 percent in 2008. Next in line is Las Vegas, where the forecasters think prices will sink 6.6 percent in 2007 and another 8.1 percent in 2008.Rounding out the top ten markets expected to fall are Bakersfield, CA (-5.5% in 2007, -6.6% in 2008), Santa Ana/Anaheim, CA (-5.5% in 2007, -4.5% in 2008), Los Angeles/Long Beach, CA (-5.4% in 2007, -4.6% in 2008), Miami, FL (-4.9% in 2007, -7.5% in 2008), Sarasota/Bradenton, FL (-4.8% in 2007, -0.8% in 2008), Oakland, CA (-4.6% in 2007, -2.4% in 2008), Fresno, CA (-4.6% in 2007, -4.3% in 2008) and Fort Lauderdale, FL (-4.3% in 2007, -4.3% in 2008).



And Now for the GOOD NEWS!!



Housing markets predicted to RISE!


Fortune also asked Mark Zandi and Fiserv Lending Solutions to predict which markets would rise in 2007. McAllen, TX is predicted to rise 8.5 percent in 2007 and another 9.8 percent in 2008 and El Paso, TX is predicted to rise 7.1 percent in 2007 and 4.4 percent in 2008. In fact, four of the hottest U.S. home markets forecast for the next year are in Texas.

Rounding out the top ten markets expected to rise are Albuquerque, NM (5.9% in 2007, 0.6% in 2008), Salt Lake City, UT (5.4% in 2007, 1.9% in 2008), Syracuse, NY (4.8% in 2007, 3.6% in 2008), San Antonio, TX (4.8% in 2007, 3.5% in 2008), Rochester, NY (4.5% in 2007, 4.2% in 2008), Baton Rouge, LA (4.5% in 2007, 2.8% in 2008), Fort Worth/Arlington, TX (4.4% in 2007, 3.5% in 2008), and Birmingham, AL (4.4% in 2007, 3.5% in 2008).
requirements. (CNNMoney.com)