Bernanke Sees High Foreclosure Rate This Year

Washington, DC, April 5, 2011 -- Federal Reserve Chairman Ben Bernanke said that he expects to see a high rate of foreclosure starts in 2011, which will continued to depress house prices.

"We hope to see this decline by next year," he said.

This housing dynamic affects household wealth, consumer confidence, consumer liquidity and the rate of new construction, he added.

"The high rate of foreclosures is obviously a serious problem and one of the reasons why our recovery is not as strong as we would like it to be," he said.