‘We’re seeing price declines of 15 to 20 percent from the peak,’ said Christopher Low of FTN Financial, speaking at a meeting of the New York Society of Certified Financial Planners. ‘And it will escalate. Buyers who know that prices might be down 15 or 20 percent a year from now will wait.’

“While real estate is local, there are bubbles, such as in Phoenix, California, Las Vegas, Boston and parts of New York, Low said. Florida has seen a 300 percent increase in the number of houses for sale. ‘A lot of people who bought investment properties are trying to get rid of them,’ he added.”

“Low said he called for a cab recently, and the driver apologized for being late. He explained that he had been on the phone with his real-estate agent. ‘Are you selling your house?’ Low asked. No, the driver said. He was trying to get rid of his five houses in Phoenix.”