Entries in S&P/Case Shiller Index (9)


Home Prices Up Six Months in a Row

iStockphoto/Thinkstock(NEW YORK) -- U.S. home prices rose again for the sixth straight month, signaling that the housing recovery is taking hold, according to S&P/Case-Shiller Home Price Indices.

“With six months of consistently rising home prices, it is safe to say that we are now in the midst of a recovery in the housing market,” said David M. Blitzer, chairman of the Index Committee at S&P Dow Jones Indices, in a statement.

The national composite also increased 3.6 percent in the third quarter of this year from the same time period in 2011.

In September, the 10- and 20-city composites had increasing annual returns of 2.1 percent and 3 percent, respectively.  However, Detroit and Washington, D.C., had slight declines in their annual returns and New York had no change.

Thirteen of the 20 cities recorded positive monthly returns. Boston, Charlotte, N.C., Chicago, Cleveland and New York had a slight drop in home prices in September from August.  Meanwhile, Tampa, Fla., and Washington D.C., remained unchanged.

Blitzer noted that the market is entering the “seasonally weak part of the year,” as sellers and buyers tend to slow activity in the colder weather.  The Case-Shiller headline numbers are not seasonally adjusted.

Copyright 2012 ABC News Radio


Home Prices Rise, Spurred by Low Interest Rates

iStockphoto/Thinkstock(NEW YORK) -- Home prices rose again in July as builders reported increased orders.  The S&P/Case-Shiller showed an increase of 1.6 percent for the month in its 20-city home-price index.

Average home prices increased by 1.5 percent for the 10-city composite from June.

Last month, Case-Shiller’s three indices showed positive annual growth for the first time since the summer of 2010.  All three composites of the Case-Shiller indices -- the national, 10- and 20-city composites -- were up for June from one year ago.

Record low interest rates, pushed down by the Federal Reserve, are encouraging more home buyers to finally purchase after the housing bubble burst five years ago.  Earlier this month, the nation’s central bank announced the federal funds rate -- the rate at which banks borrow from each other -- would remain near zero at least through mid-2015 due to the struggling unemployment situation in the country.

In its analysis released Tuesday morning, the S&P/Case-Shiller report showed Dallas and Washington, D.C., had no change in their annual rates, while rates for Cleveland, Detroit and New York worsened in July.

“The news on home prices in this report confirm recent good news about housing,” said David Blitzer, chairman of the Index Committee at S&P Dow Jones Indices. “Single family housing starts are well ahead of last year’s pace, existing home sales are up, the inventory of homes for sale is down and foreclosure activity is slowing.  All in all, we are more optimistic about housing. Upbeat trends continue.  For the third time in a row, all 20 cities and both Composites had monthly gains. Stronger housing numbers are a positive factor for other measures including consumer confidence.”

At online real estate analytics firm Zillow, Chief Economist Stan Humphries said, “July shows another strong month of appreciation for Case-Shiller albeit down slightly from June’s revised monthly pace and somewhat lower than our expectations.  The indices have, however, still yielded a better annual comparison than last month, reflecting organic growth in the housing market, which further confirms what we’ve been seeing over the last few months in other data: the housing market is in recovery mode.  Given the more recent August, Zillow Home Value Index was down slightly month-over-month, we anticipate Case-Shiller’s monthly appreciation to slow even more substantially in August.”

Zillow released housing numbers for August last week.

Copyright 2012 ABC News Radio


Home Price Rise Signals Recovery

Phillip Spears/Digital Vision/Thinkstock(NEW YORK) -- Home prices are showing positive annual growth for the first time since the summer of 2010, according to the S&P/Case-Shiller Home Price Indices out Tuesday.

All three composites of the Case-Shiller indices -- the national, 10- and 20-city composites -- were up for June from one year ago.  The national composite rose 1.2 percent in the second quarter of 2012 from the same period a year ago.  The 10- and 20-city composites rose 0.1 percent and 0.5 percent in June 2012 from June 2011.

“We seem to be witnessing exactly what we needed for a sustained recovery; monthly increases coupled with improving annual rates of change.  The market may have finally turned around,” said David M. Blitzer, chairman of the Index Committee at S&P Dow Jones Indices, in a statement.

Two cities -- Charlotte and Dallas -- saw annual rates of decline accelerate in June, Blitzer pointed out.  Only six cities -- Atlanta, Chicago, Las Vegas, Los Angeles, New York and San Diego -- had negative annual rates of change.  Boston’s annual home price rate was flat.

Last week, two home sales reports indicated that the housing market may have rebounded from the bottom.

Last Thursday, the Commerce Department reported new homes sold at a seasonally adjusted annual rate of 372,000 in July -- an increase of 3.6 percent a month ago and 25.3 percent more than a year ago.

And last Wednesday, the National Association of Realtors reported monthly sales of existing homes increased 2.3 percent in July to 4.47 million.

Copyright 2012 ABC News Radio


US Home Prices: Has the Tide Turned?

Stockbyte/Thinkstock(WASHINGTON) -- Average home prices rose in March compared with February in most of the 20 cities in a Standard & Poor’s/Case Shiller survey out Tuesday – the first time in seven months there’s been a gain.  This report adds to growing evidence that the worst of the five-year housing slump appears to be over.

“It gives some indication to both to what happened during the housing boon and how the bust may be unwinding,” says David Blitzer of the S&P’s index committee.

But there are many local variations in the 20-city home price index.  Some metropolitan areas are in far worse shape than others. In three cities – Atlanta, Chicago, and Detroit – annual rates of change declined in March. The other 17 cities saw improvements.

“The number of cities declining was lower than it had been recently. The number of cities hitting new lows was lower than it had been recently and except for a couple of places we see substantial declines, still we’re beginning to see more stability in the overall numbers,” says Blitzer.

Across the country average prices in March were still more than 2.5 percent lower than the year before and down 35 percent from their 2006 peak.  That’s why nearly a third of homeowners owe more than their properties are worth.

Copyright 2012 ABC News Radio


Home Values Declined More Than Expected

iStockphoto/Thinkstock(WASHINGTON) -- U.S. home prices fell more than expected in October as foreclosures continue to drag down the housing market, the S&P/Case-Shiller index reported Tuesday.

According to the widely-used measure index, home values in its 20-city composite fell 3.4 percent from October 2010. Prices fell 1.2 percent from September, when prices returned to 2003-levels.

David Blitzer, chairman of the Index Committee at S&P Indices, said the only good news in the October data is some improvements in the annual rates of change of 14 of 20 cities and the 10- and 20-city composites.

October's decline in Case-Shiller home prices was driven by slides in major cities, including New York, which has, over the past several years, exhibited more stable prices than many other regions, said Guy LeBas, chief fixed income strategist with Janney Capital Markets. Nineteen of the 20 cities analyzed had decreases in home prices over the month. Phoenix was the only one of the 20 areas that had a positive monthly change at 0.3 percent.

"Overall, it looks like the reprieve for home prices provided by lower mortgage rates beginning last summer has come to an end, and the supply-demand imbalance in housing is coming back into the spotlight," he said.

Mortgage rates have fallen to "record-low" levels at the end of the year. Freddie Mac, or the Federal Home Loan Mortgage Corporation, announced on Thursday that the 30-year fixed rate averaged 3.91 percent for last week, "a new all-time low," dropping below the previous week's 3.94 percent, the former record low. The 15-year fixed rate matched the previous week's "all-time record low" at 3.21 percent.

S&P/Case-Shiller reported Detroit and Washington, D.C. were the only two cities to show positive annual returns of 2.5 percent and 1.3 percent, respectively. Fourteen of the 20 metropolitan areas, the 20-city and 10-city composites saw improved annual returns compared to September's data. Miami saw no change in annual returns in October. The annual rates of Atlanta, Detroit, Las Vegas, Los Angeles and Minneapolis declined. Atlanta posted the lowest annual return at -11.7 percent.

Based on the current pace of sales and the foreclosure pipeline, Janney estimates it will take at least 15 months before the inventory of homes for sale realigns with demand.

"That means probable further home price declines are in store for 2012, though the pace will likely be in the 3 to 5 percent range in our view," LeBas said.

More than 100 economists surveyed by Zillow predicted the country will not see the end of the three-year decline in home values for at least another year. The real estate marketplace site said the market's bottom is forecasted to take place in late 2012 or early 2013.

Copyright 2011 ABC News Radio


Home Prices Edge Up, but Have They Hit Bottom?

Stockbyte/Thinkstock(NEW YORK) -- After almost five years of weakness in the housing market, have home prices reached bottom?

The widely-used measure of U.S. home prices, S&P/Case Shiller Home Price Indices, showed housing prices increased 0.9 percent in July from June, but areas are still below levels from one year ago.

The Case Shiller 10 and 20 city composite indices showed a fourth consecutive month of increases.

“With July’s data we are seeing not only anticipated monthly increases, but some fairly broad improvement in the annual rates of change in home prices,” David M. Blitzer, chairman of the Index Committee at S&P Indices, said in a statement.  “This is still a seasonal period of stronger demand for houses, so monthly price increases are expected and were seen in 17 of the 20 cities.”

Prices increased in cities including Boston, Charlotte, Chicago, Cleveland, Dallas, Denver, Detroit, Miami, and Tampa.

Declines were recorded in Las Vegas and Phoenix, while Denver showed no change in the month.

Detroit’s housing market finally showed signs of growth. Detroit and Washington, D.C., were the two metro areas that showed price increases over the year, up 1.2 percent and 0.3 percent, respectively, from July 2010.

With historically low mortgage rates, is now the time to buy a home? Most buyers want to make sure the market hits rock bottom first.

Earlier this month, Freddie Mac announced fixed-rate mortgages fell near 60-year lows as investor concerns over the European debt market keep Treasury bond yields low.  The 30-year fixed rate mortgage averaged 4.09 percent, a new all-time low.  The 15-year fixed rate mortgage, a popular refinancing option, according to Freddie Mac, also reached a new record low, averaging 3.30 percent.

In a statement, Blitzer said despite seeing four consecutive months of increasing home prices, “we do know that we are still far from a sustained recovery.”

Eighteen of the 20 cities that the Case-Shiller report analyzed show home prices are still below where they were a year ago.  The 10-City composite is down 3.7 percent and the 20-city composite is down 4.1 percent compared to July 2010.

“Continued increases in home prices through the end of the year and better annual results must materialize before we can confirm a housing market recovery,” he said.

On Monday, the Commerce department reported that new home sales slid for the fourth consecutive month to a 295,000 unit annual rate for August, a 2 percent decline versus the prior month’s revised pace.  Many economists say at least double the number of houses must be sold for the housing market to be considered robust.

Copyright 2011 ABC News Radio


Home Prices Continue Downward Spiral

Stockbyte/Thinkstock(NEW YORK) -- Home prices are continuing to fall across most major U.S. cities. The latest Standard and Poor's/Case-Shiller index out Tuesday shows price declines in 19 of 20 cities from December to January. Only Washington, D.C. saw prices edge up, a tenth of a percent.

"What we're seeing is continued decline in home prices, and it's across the nation. We really aren't seeing any markets that are showing any sustained recovery at this point," according to S&P Indices Vice President Maureen Maitland, who believes the housing market is still in a recession.

Maitland added that as of right now there is no positive hope for the numbers and we are still seeing a negative momentum in regards to home prices.´╗┐

Copyright 2011 ABC News Radio


Report: Average Home Prices Fall In Most Big Cities

Photo Courtesy - Getty Images(WASHINGTON) -- A new report indicates the mess in the housing market is far from over. Data released on Tuesday showed average home prices continuing to fall in most big cities.

The latest S&P/Case-Shiller index tracked a 1 percent drop in November from October. Though markets vary from city to city, average prices in eight out of 20 cities hit their lowest point since the housing bust.

"Until consumers are convinced that home prices will move no lower, home sales will be lower than otherwise," said John Lonski, chief economist at Moody’s.

"The unfinished slide by home prices may push more home mortgage holders underwater."

Copyright 2011 ABC News Radio´╗┐


US Home Prices Fall, Spark Recovery Concerns

Photo Courtesy - Getty Images(WASHINGTON) -- Home prices were down 0.8 percent compared to a year ago in 20 of the country’s largest cities, according to one of the leading measures of home values in the country.

While prices remain above their spring 2009 lows, Atlanta, Charlotte, N.C., Portland, Ore., Miami, Seattle and Tampa, Fla., hit their lowest levels in October since home prices began dropping in 2006 and 2007, Standard & Poor’s said Tuesday in its monthly Case-Shiller Home Price Index.

David Blitzer, chairman of S&P's index committee, said, "The double dip is almost here, as six cities set new lows for the period since the 2006 peaks. There is no good news in October's report. Home prices across the country continue to fall."

The drop in prices is in part a response to the housing market weakness after federal home-buyer tax credits expired in April.

Diane Swonk, chief economist with Mesirow Financial, said in response to the report that, "the housing market, which got us into this mess, is likely to remain a thorn in the side of the recovery for some time to come."

Copyright 2010 ABC News Radio

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