Goldman Sachs says 4 cities likely to see a 2008-style housing crash: report

  • The investment bank shied away from predicting a nationwide crash, but warned that residents in four cities in particular could see plummeting values that echo the 2008 housing collapse

  • The “overheated” markets mentioned in the note were: San Jose, California; Austin, Texas; Phoenix, Arizona; and San Diego, California

  • Prices are expected to fall less than 2% in cities like New York and Chicago, according to Goldman, and even grow in others, like Baltimore and Miami

  • In cities where valuations have drifted far from fundamentals, the decline is expected to be far more devastating

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