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BofA Merrill Lynch: Fiscal cliff will affect housing recovery

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“This relief has helped to boost short sales—a smoother way to sell a distressed property, helping the recovery in home prices. If this is not extended, a greater share of delinquent borrowers will likely be resolved through foreclosure instead of short sale, which would depress average home prices,” BofA analysts wrote in a research note.

Source: PoliticalWatch
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