The S&P/Case-Shiller index of property values in 20 cities fell 4.4 percent from July 2010 suggesting that property prices likely fell during the month. This would be the 10th consecutive year-to-year drop demonstrating the continuing weakness in the U.S. economy.
“The risks are on the downside for U.S. home prices given the overhang of unsold homes and the weakness in the labor market,” said Sal Guatieri, a senior economist at BMO Capital Markets in Toronto. “Foreclosure rates remain high, and that will likely put downward pressure on prices.”
Source: Bloomberg