Case-Shiller off Big in Q1

May 27, 2008

Off the wires 10 minutes ago:

NEW YORK – A closely watched housing index shows U.S. home prices dropped at the sharpest rate in two decades during the first quarter.

if(window.yzq_d==null)window.yzq_d=new Object(); window.yzq_d[\\’Wj7ETELEYrg-\\’]=\\’&U=13fg3skgv%2fN%3dWj7ETELEYrg-%2fC%3d621585.12711401.13018730.2577455%2fD%3dLREC%2fB%3d5367835%2fV%3d1\\'; Case-Shiller said Tuesday its U.S. National Home Price index fell 14.1 percent in the first quarter compared with a year earlier, the lowest since its inception in 1988.

Its narrower indices also set record declines. The 20-city index tumbled 14.4 percent during the quarter, the lowest since that index was started in 2001. The 10-city index plunged 15.3 percent, a record in its 20-year history.

“There are very few silver linings that one can see in the data. Most of the nation appears to remain on a downward path,” said David Blitzer, chairman of S&P’s index committee.

Yes, low interest rates can keep prices from falling as low as they otherwise might, but sky-high inventories will insure the trend stays negative for some time.

No comments so far

We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see