After three years of unprecedented appreciation, many real estate analysts expect the Bay Area home prices to be flat to up or down 2 percent, depending on location. Of course, most experts see this as a correction to the aforementioned exorbitant appreciation and not a sign of weakness in the area.

However, given the Bay Area’s higher taxes, higher home prices and growing congestion, the growing trend of California moving out-of-state to Texas, Oregon, Nevada, and Arizona should continue.

Nationwide, analysts see continued growth in housing, primarily in the South followed by the West, Midwest, and Northeast.