The ripple effect of foreclosures
The center estimates that about a third of homes nationwide -- 44.5 million -- will see property values drop by an average of $5,000 two to three years after the foreclosures of loans originated in 2005 or 2006. Such a loss would add up to $223 billion.
The study ranked Maryland sixth worst in the nation, with some 1.43 million properties - more than half the state's total - expected to lose $8 billion in value. California was ranked No. 1.The Joint Economic Committee of Congress, in a report last month, put a smaller figure on the projected loss for Maryland.
The committee estimated the total loss of state property values at $2.7 billion, of which about $1.1 billion was the ripple effect on nearby homes. That report forecast subprime foreclosures from the middle of this year through the end of 2009.