Most U.S. cities are likely to have lower housing prices two years from now, and 50 of the largest metropolitan areas have a "high probability" of lower prices by the third quarter of 2010, PMI Mortgage Insurance Co. says.

David Berson, the chief economist and strategist at the unit of PMI Group Inc. in Walnut Creek, Calif., said in an interview last week that rising foreclosures and unemployment will offset positive factors such as lower mortgage rates.

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