UCLA is forecasting a rosy housing recovery for Orange County, CA with median home price increases next year of 15.9 to 16.6%.

That is better than the projected 8.8% reported gain for CA and a 2.4% increase nationwide they estemated perviously.

They are saying that home prices will not get back to the high of 2006 till most likely 2016 ot 2017 but that we will have an increase each year at a steady pace up.

We are at 16% up just since March and that is only six months. The increases will continue year-over-year because we went up to fast and then we over corrected to the down side.

Projection is as follows 2011 to 2015, local home prices will increase by 2.5% to 8.7% a year, Median price this year is $406,481, 2011 projection is $500,000 and 2015 it will be over $600,000.

Foreclosures will rise next year but not enough to derail the recovery.

Mark Schniepp chief economist with the California Economist Forecast says the time to buy was early this year and NOW till March 2010. The prices will continue to go up.