1st fall in U.S. homes prices since 1950 forecast

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    BEIJING, Aug. 27 (Xinhuanet) -- The median price nationwide of U.S. homes is expected to fall between 1 percent and 2 percent in 2007, the first such decline since federal agencies began compilingstatistics in 1950, according to a report in the New York Times on Sunday.
    The Office of Federal Housing Enterprise Oversight is scheduled to release the home-price index on Thursday.Research firm Global Insight expects it to show a decline of about 1 percent between the first and second quarter, according to the newspaper.
    Global Insight also expects the decline of U.S. home prices to peak at 4 percent between their highest point in 2007 and the projected low point in 2009, the New York Times said.Other forecasters expect the index to climb slightly in the second quarter before falling later this year.
    "For most people, this is not a disaster," Global Insight economist Nigel Gault told the newspaper. "But it's enough to cause them to pull back."
    Last week, Countrywide Financial Corp Chief Executive Angelo Mozilo said the United States housing downturn was likely to lead the country into a recession.
    (Agencies)
               
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