Let’s have a look at the forces that are likely to work against a property market report recovery in 2009.

With home prices declined a sore 21 percent from their 2006 crest, home owners in property market all over the place could use a splash of good news in their 2009 New Year celebrations. But as a horrible recession in property market trend is also inevitable, the chances of a violent housing market report bouncing back next year are not as bright.

Some factors that will cause a depression in the real estate bubble in 2009:

• Recession in property prices and real estate market trend is likely to continue in 2009.
• Unemployment rate is already 6.5% and it is estimated to hit 9.0% by the end of this year.
• A decline in Consumer Confidence, as no one makes the life’s biggest investment “buying a house” unless he doesn’t feel pretty good about his economical condition and property market analysis.
• The Underwater Effect is all the more as stated by a market report, 1 in 7 American homeowners has negative equity owing to a decline in property prices.
• At the same time, in line with the current market reports, the speed of new household formation is not as fast as it was before, which obviously chips away at housing demand.