Wednesday, February 25, 2009

S&P/Case-Shiller: December 2008 report

The S&P/Case-Shiller Home Price Indices report for December 2008 was released yesterday.

"The broad downturn in the residential real estate market continues,” says David M. Blitzer, Chairman of the Index committee at Standard & Poor’s. “There are very few, if any, pockets of turnaround that one can see in the data. Most of the nation appears to remain on a downward path, with all of the 20 metro areas reporting annual declines, and eight of those MSA’s now with negative rates exceeding 20%.

The DC area's market continues to decline; YoY, prices fell 19.24%. Prices fell 2.3% from November to December. The DC area's home price index is now about equal to that of April 2004.

The charts below reflect home price data for the Washington, DC MSA.



On another note, I read in today's Wall Street Journal that Citibank "chafes under US overseers." Since I always try to solve problems, not gripe about them, I propose a solution below that should ease their chafing, at least until they repay the billions and billions of dollars they received from the US taxpayer.

2 comments:

Chris I said...

Any info on local, Washington DC Price-to-Rent and Price-to-Income ratios? Those ratios are both key measures of house prices. I've seen graphs of these ratios using national data and those graphs suggest prices will fall farther (in the range of 10-20%).

Mike said...

Keith,

Saw this article here:

http://realestate.yahoo.com/promo/while-new-york-bleeds-washington-thrives.html

Do you think DC pricing will bottom out soon given that the economy here isn't nearly as bad as it is elsewhere?