2010: year of the turnaround?

Credit, jobs, foreclosures still stumping economists

A spurt in home sales in 2009 aided by low interest rates and the first-time homebuyer tax credit has led some economists to forecast a turnaround in the housing market this year. Other forecasters feel this is too optimistic a projection.

Among those who see improvement in the 2010 market is Lawrence Yun, chief economist for the National Association of Realtors (NAR). Yun hopes that the extension of the first-time homebuyer tax credit will provide a new pool of buyers to absorb the additional foreclosures that will hit the market this year.