U.S. home prices fell more sharply in November, compared to the previous month, in another sign of widespread weakness in the real estate market, according to S&P/Case-Shiller Home Price Indices data released Tuesday.
The 10-city index fell 3.6 percent compared to the previous year, while the 20-city index fell 3.7 percent. The drop was greater than October's declines of 3.2 percent and 3.4 percent, respectively, and greater drops than forecast by Zillow and analysts surveyed by Bloomberg.
“Despite continued low interest rates and better real GDP growth in the fourth quarter, home prices continue to fall,” says David Blitzer, chairman of the Index Committee at S&P Indices, in a statement.
Nineteen of the 20 major metro areas tracked by Case-Shiller saw month-over-month price decreases for the second consecutive month, demonstrating widespread weakness.
Atlanta continued to be one of the worst-performing markets, with an 11.8 percent decline in prices compared to the previous year. Las Vegas, Seattle and Tampa also reached new pricing lows in November.
Detroit and Washington, D.C., had the only positive annual price changes of 3.8 percent and 0.5 percent, respectively.
The trend is down and there are few, if any, signs in the numbers that a turning point is close at hand, said Blitzer.