Home Prices Falling In Most US Cities, Reach 11-Year Lows
BOSTON (CBS) – Home prices are continuing to deflate across most US cities, according to the latest Standard and Poor’s/Case-Shiller Index. Most of the cities now have the lowest home prices since the housing bust began in 2006 but four of the cities have reached 11-year lows.
Wellesley College professor Carl Case, who co-developed the index, says the index has been down for 6 straight months and that could point toward a double dip recession.
WBZ NewsRadio 1030′s Anthony Silva reports.
Case says, “Most housing numbers, housing starts, new production, are terrible. They are just at all time low levels. In fact, the number for this month was the second lowest on record in 60 years.”
According to Professor Case, “it’s like the “The Little Engine That Could” on a track up a hill, and it’s not getting very far.”
But Case says if the job market improves and confidence rises, the housing market could turn on a dime especially with low asking prices and low mortgage rates.
He adds the Boston area is in much better shape than most other cities with sales and prices not falling far.