Related News
Home » Business » Real Estate
US home prices continue rise
Source: Agencies |
September 28, 2011, Wednesday
|
Print Edition
Print Edition
HOME prices rose for a fourth straight month in most major US cities in July, buoyed by the peak buying season. But the housing market remains depressed, and prices are expected to decline in coming months.
The Standard & Poor's/Case-Shiller index released yesterday showed home prices increased in July in 17 of the 20 cities tracked. Prices rose sharply in Minneapolis and Chicago. But prices in two cities hit hardest by the housing crisis - Las Vegas and Phoenix - declined.
The index measures prices compared with those in January 2000 and creates a three-month moving average. The July data is the latest available.
Analysts cautioned that the price increases are temporary and not evidence of a housing recovery. Sales have declined in each of the months in which prices rose.
Prices are expected to drop again this autumn and winter, based on poor sales and expectations that banks will resume processing a raft of foreclosures that have been in limbo.
"This is still a seasonal period of stronger demand for houses, so monthly price increases are expected," said David Blitzer, chairman of Standard & Poor's index committee. "While we have now seen four consecutive months of generally increasing prices, we are still far from a sustained recovery."
Over the past 12 months, prices have fallen in all but two cities - Detroit and Washington.
In Detroit, prices have risen 1.2 percent over that period, but the city has been among the nation's worst housing markets over the past decade. In July, homes prices there were equal to 1995 levels.
Washington DC, conversely, has had the best housing market. Home prices there have increased 0.3 percent in those 12 months, and were equal to 2004 levels in July.
Housing is a key reason the economy has struggled more than two years after the recession officially ended.
High unemployment, larger down payments and tighter credit are preventing buyers from entering the market, while many who could afford to buy are waiting because they are worried the US could fall back into recession.
The Standard & Poor's/Case-Shiller index released yesterday showed home prices increased in July in 17 of the 20 cities tracked. Prices rose sharply in Minneapolis and Chicago. But prices in two cities hit hardest by the housing crisis - Las Vegas and Phoenix - declined.
The index measures prices compared with those in January 2000 and creates a three-month moving average. The July data is the latest available.
Analysts cautioned that the price increases are temporary and not evidence of a housing recovery. Sales have declined in each of the months in which prices rose.
Prices are expected to drop again this autumn and winter, based on poor sales and expectations that banks will resume processing a raft of foreclosures that have been in limbo.
"This is still a seasonal period of stronger demand for houses, so monthly price increases are expected," said David Blitzer, chairman of Standard & Poor's index committee. "While we have now seen four consecutive months of generally increasing prices, we are still far from a sustained recovery."
Over the past 12 months, prices have fallen in all but two cities - Detroit and Washington.
In Detroit, prices have risen 1.2 percent over that period, but the city has been among the nation's worst housing markets over the past decade. In July, homes prices there were equal to 1995 levels.
Washington DC, conversely, has had the best housing market. Home prices there have increased 0.3 percent in those 12 months, and were equal to 2004 levels in July.
Housing is a key reason the economy has struggled more than two years after the recession officially ended.
High unemployment, larger down payments and tighter credit are preventing buyers from entering the market, while many who could afford to buy are waiting because they are worried the US could fall back into recession.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
