These housing markets are poised for a downturn

Home buyers are contending with record-high home prices across most of the U.S., but some markets are poised for a correction and could offer buyers some room for negotiation, a new report says.

California, New Jersey and Illinois had the highest concentrations of local housing markets at greatest risk of a downturn in the second quarter of this year, while the biggest such cluster was in the New York City metropolitan area, according to the property-data firm Attom.