Home prices still heading south

House prices continued to plunge in the first quarter, with new data revealing record declines across the country.
MAY 27, 2008
House prices continued to plunge in the first quarter, with new data revealing record declines across the country. The Standard & Poor's/Case-Shiller home price index, which tracks single-family house prices, tumbled 14.1% in the first quarter, compared with the comparable quarter a year ago. The decline is the largest in the 20-year history of the index, outstripping the declines of the 1990-91 housing slump by more than 10%. The index comprises two indexes, one reflecting prices in 10 cities nationwide and another covering 20 cities. Both composite indexes set record declines from a year ago, falling 15.3% and 14.4%, respectively. In the broader index, prices declined in 19 cities, with greatest drops reported in Las Vegas (-25.9%), Miami (-24.6%) and Phoenix (-23%). Despite the national downturn, two markets saw higher home prices: Charlotte, N.C., where prices rose 0.8% over the February-March period, and Dallas, where prices rose 1.1%.

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