In a recent survey of 200 analysts, real estate analysts surveyed by CMA Real Estate Investment Trust were asked to predict the future of the real estate industry.
The majority predicted a correction to be the case, with only 12 percent saying it was unlikely.
The market is not likely to continue to recover until a new recession is in place, CMA said.
“As a market, we see a lot of cycles of events and recessions that occur,” said Paul J. Schaffner, CEO of CMA, in a statement.
“We are in this for the long haul, and that means investing in our businesses is our best bet.”
Real estate analyst Peter E. Shih, a partner at Morningstar and a senior adviser to the U.S. Treasury Department, believes the downturn will take longer than anticipated.
“I think it will be longer than some people expected.
And the way the market is moving right now, the longer it takes for the market to recover, the worse it will get for the housing market,” he told CNBC.
CMA will hold its next conference call on May 18 to update its analysts and share its results.