LOS ANGELES -- Housing prices in certain California markets are unsustainable, Fitch Ratings analysts said in a commentary.
“Fitch Ratings believes the recent home price gains recorded in several residential markets are outpacing improvements in fundamentals and could stall or possibly reverse,” according to the commentary released Tuesday by the residential mortgage arm of the rating agency’s U.S. Structured Finance group. “Many of these areas are in California, which has seen price increases of 13% over the last year. “