October Home Prices Fall By Record 6.7 %

[MichaelC 160]

Article

 

South Florida Sun-Sentinel.com

October home prices fall by record 6.7 % -- 12.4% in Miami

Associated Press

 

9:22 AM EST, December 26, 2007

 

NEW YORK

 

U.S. home prices fell in October for the 10th consecutive month, declining a record 6.7 percent compared with a year ago, according to the Standard & Poor's/Case-Shiller home price index.

 

``No matter how you look at these data, it is obvious that the current state of the single-family housing market remains grim,'' said Robert Shiller, who helped create the index, in a statement Wednesday.

 

The previous record decline was a drop of 6.3 percent, recorded in April 1991. Home prices fell 1.4 percent in October compared with the previous month.

 

The S&P/Case-Shiller home price index tracks prices of existing single-family homes in 10 metropolitan areas compared with a year earlier. A broader index of 20 metropolitan areas fell 6.1 percent. Among the 20 metropolitan areas used in the broader index, 11 posted record monthly declines.

 

Miami posted the largest loss among the 20 markets reviewed. Home prices in the Miami metropolitan area declined 12.4 percent in October compared with the same month last year.

 

Only three areas _ Charlotte, N.C., Portland, Ore. and Seattle _ posted year-over-year home price appreciation in October, with Charlotte posting the largest gains at 4.3 percent

 

Copyright © 2007, South Florida Sun-Sentinel

[-Tony- 0]

MC,

 

Yeah it fell from last year BUT, correct me if I am wrong; doesn't it work like this......when it is compared with another year, don't they take last years appreciation (say10%) subtract this years (say 3.3%) which then shows a decline of 6.7% compared with a year ago.

 

I don't know how they do it in this article but this is common practice.

 

Check out reality trac inflation of the numbers

[MichaelC 160]

You might be correct, Tony, but I'm not sure. Two people can look at the identical stats and come up with different answers. Usually, the truth lies somewhere in between. But I think we can take away from this that we are in the midst of a declining market that is not yet showing signs of a recovery.

[-Tony- 0]

I'm just hoping it is that way down there. I am trying to sell my old house, (good thing I bought right). Up here, (VA), it is all over the news about a bust here but, it's freakin' winter, (that’s when the temp drops below freezing), and this always happens even in the good times, (03-06 yes I said 06). Last quarter we had 4% annual appreciation, which was more common before the market rise.

 

I really think that the hype the media has given the market is causing a lot of the problem and the debacle with Reality Trac just fed the fire. But will we see articles with the true numbers, probably page 7 of the Lifestyles section.