Thursday, April 01, 2010

S&P/Case-Shiller: January 2010 report

The S&P/Case-Shiller Home Price Indices report for January 2009 was released this week. The report shows "that the annual rates of decline of the 10-City and 20-City Composites improved in January compared to December 2009. In fact, the 10-City Composite is unchanged versus where it was a year ago, and the 20-City Composite is down only 0.7% versus January 2009. Annual rates for the two Composites have not been this close to a positive print since January 2007, three years ago."
“The report is mixed. While we continue to see improvements in the year-over-year data for all 20 cities, the rebound in housing prices seen last fall is fading. Fewer cities experienced month-to-month gains in January than in December 2009, on both a seasonally adjusted and unadjusted basis.” says David M. Blitzer, Chairman of the Index Committee at Standard & Poor’s... Other recent data on housing also paint a mixed picture. Housing starts continue at extremely low levels, recent reports of home sales suggest the market remains difficult, and concerns remain about further foreclosures and a large shadow inventory of unsold homes. We are in a seasonally weak part of the year, but given the S&P/Case-Shiller Home Price data reported today, we can’t say we’re out of the woods yet.”

For the DC area, it looks like prices have stalled. Although up 3.52% YoY in January for the second consecutive month, after monthly declines since September 2006, the monthly price increases have stopped and actually declined 0.45% in January.

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

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