Shiller: 50 Percent Chance of Double-Dip in Housing Market

Despite the 0.3 percent gain in the S&P 500/Case-Shiller Home Price Index in January, the outlook for housing is murky going forward, according to index co-founder Robert Shiller.

The index began a strong recovery a year ago, but now the rebound has weakened, he says. “It’s kind of iffy now – the outlook,” Shiller says.

“The big cloud on the horizon is the withdrawal of government support for the housing market,” he recently told Bloomberg.

He was referring to the March 31 end of $1.25 trillion of mortgage securities purchases by the Federal Reserve. (more)