The first predictions for the 2012 housing market have started rolling in and the latest comes from Frank Nothaft, vice president and chief economist for Freddie Mac, who offers a more-of-the-same assement.

  • *Mortgage rates will remain near record lows at least through the middle of the year.
  • *Home sales will increase, but will not be robust and prices will increase only in areas where foreclosures are few and vacancies low.
  • *In the mortgage industry, most of the lending will be for rental apartments rather than single-family for sale housing.

On the broader economy, he expects growth to increase to about 2.5 percent and the unemployment rate to decline, but remain above 8 percent. "While the headwinds remain strong going into 2012," he said. "There are indications the economy and the housing market are gaining ground, albeit slowly."