The housing double dip is official: US home prices fell in the first quarter to a new recession low.
“This month’s latest S&P/Case-Shiller price index report is marked by the confirmation of a double-dip in home prices across much of the nation,” said David Blitzer, chairman of S&P’s index committee. “The National Index fell 4.2% over the first quarter alone, and is down 5.1% compared to its year-ago level. Home prices continue on their downward spiral…”
Update: The folks at Capital Economics write in with this gloomy tidbit: “The further fall in house prices in the first quarter means that, on the Case-Shiller index, prices have now fallen by more than they did during the Great Depression.”
They calculate that home prices are now down 33% from their 2006 peak, compared with the 31% decline during the Depression.