Ten things to watch for, says the paper:

  1. 2011 saw record low interest rates and high affordability, but sales will likely remain weak
  2. Price drops seen through 2011 will continue
  3. Rentals rebounded in 2011 and will drive development in 2012
  4. Market disparity between, and within, regions will continue
  5. Foreclosure rates rising again, expected to jump in 2012
  6. Signs of life seen in housing construction but no true recovery yet
  7. Lawsuits, lawsuits and more lawsuits to come
  8. Government attempts to wind down Fannie and Freddie, but no concrete plan likely until
  9. Bailout possible for FHA if housing prices continue slide
  10. Global economic uncertainty prompts potential homebuyers to wait