Millions are under water -- that is they owe more now than their house is worth. That means many can't sell and those who can will be forced to take a huge loss. It could take eight years for values to rebound, experts were saying on Wednesday. The experts are also saying for many the best strategy is to simply wait it out.
"If you don't have to sell and can afford to stay in your home, stay put. You know, this will pass, you will come back to where you were or close to where you were or to a new normal," said Dolly Lenz, a real estate and foreclosure expert.
Continuing foreclosures are a main factor driving down prices. In the Bay Area, home values have fallen five percent just since the beginning of this year.