3 reasons why analysts are convinced home prices will fall 30%

It's been going up 111% since 2008.

According to Barclays, they believe property prices are always set by the marginal buyer. "Our analysis of the home price-to-income multiple, the buy-vs-rent cash flow equation and the opportunity costs of holding a property suggest that home prices should correct by at least 30%," Barclays said.

With home prices up 111% since end-2008, we believe there is significant scope for owners to take profit on their property holdings.

Here's more from Barclays:

Why now? While the market waits for interest rates to trigger a correction, we see other important catalysts: 1) household income growth is stalling; 2) rents are hitting the income ceiling; 3) supply is exceeding demand; and 4) developers are speeding up presales.

As developers and homeowners adjust their opportunity cost expectationsfrom a rising to a falling market, a downward spiral of home prices is likely.