Scary headline that leads me to ask if home prices falling or are they just continuing to bounce along the bottom?
Case-Shiller is without a doubt one of the big boys in tracking U.S. home prices. So we have to pay attention to their reports to stay ahead of the curve of buyer and seller sentiment. Because you better believe I am not the only person that will use a scary headline to get your attention…
Let’s dive into the latest news about home prices and real estate from Case-Shiller:
- U.S. home prices decreased 1.3% for both of the Case-Shiller 10- and 20-City Composites from November 2011 to October 2011
- The 10-City Case-Shiller Composite decreased 3.5% if we compare November 2010 to November 2011
- The 20-City Case-Shiller Composite decreased 3.7% if we compare November 2010 to November 2011
David M. Blitzer, Chairman of the Index Committee at S&P:
“Despite continued low interest rates and better real GDP growth in the fourth quarter, home prices continue to fall.”
Case-Shiller said that in November 2011, average U.S. home prices are back to the levels where they were in mid-2003! Now as always, I have to tell you that the Case-Shiller Index is not telling you everything you need to know about home prices in Upstate SC. Let’s look locally:
|December 2011||November 2011||October 2011|
|Upstate SC Median Home Price||$116,777||$130,000||$119,000|
Remember this is the Median Home Price for the entire WUAR MLS from the Market Reports and will not tell you everything you need to know about the value of one specific home. Not only that, but as you can see from the way the Median Home Price changes from month to month, it takes more research to get a realistic idea of a specific home’s value. If you have any questions, please Contact Me!
In general, I expect home prices in our area to keep bouncing up and down. Some prices ranges will be hurt because they just take so long to sell. Some price ranges, such as homes $75,000 to $150,000 should do OK if the home is in great shape.