Although the November S&P Case-Schiller home price index data is in line with economist’s expecations, it is now at its lowest level since March, down 1.6% from November 2009. This is the fifth month in a row of falling prices nationally with nine cities reaching new lows.
Some cities are dragging down the national average while others are propping it up. Las Vegas has lost 60% in home values over the past four years (3.5% in the last year) and Atlanta, Chicago and Detroit all dropped more than 7% in the last year. All the while, gains are being experienced in most major California cities and Washington DC leads with the biggest annual gains..
Data through November 2010 reveals negative annual growth rates in 85% of the major MSAs studied by S&P.
This isn’t good news for the industry as economists continue to point toward a possible double dip in the market.