Zillow and CoreLogic: Home Prices Still Declining

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Two reports by Zillow and CoreLogic state home prices are still declining. Home prices posted their largest quarterly drop since the first quarter of 2009 dropping 2.6% in the fourth quarter of 2010 said Zillow. In the press release, Zillow stated home prices have fallen a total of 27 percent since the peak in June of 2006. 

CoreLogic’s recent Home Price Index (HPI) shows home prices dropped  for the fifth straight month. National home prices including distressed properties dropped by 5.46% in December 2010 compared to December 2009 and declined 4.39% in November 2010 compared to 2009.  Excluding distressed properties home prices in December declined by 2.31% over 2009 and fell 2.81% in November as compared to the 2009 numbers. 

The good news is home price declines are decelerating according to CoreLogic chief economist Mark Fleming as he stated: “It [2010] was a bumpy ride which ended with a net gain/loss of zero. Despite the continued monthly decline in home prices and year-over-year depreciation, we’re encouraged that on an annual basis we’re unchanged relative to a year ago. Excess supply continues to drive prices downward, but the silver lining is that the rate of decline is decelerating.” 

The bad news? According to Zillow:  “At the end of the fourth quarter, 27 percent of single-family homeowners with mortgages owed more on their mortgage than their homes were worth, up from 23.2 percent in the third quarter.” Home prices are still declining and homeowners are facing tough times ahead. Although price declines are decelerating, the housing market is far from recovered. 

 Zillow and CoreLogic: Home Prices Still Declining

About the author

Lisa Udy wrote 2 articles on this blog.

Lisa Udy is a full time and dedicated real estate professional licensed and full time since 2001. If you have questions you can email Lisa at Lisa@LisaUdy.com or visit her Logan Utah real estate website. Lisa specializes in helping home buyers purchase Logan Utah homes including short sales and REO's. Prior to Lisa's real estate career she owned and operated small grocery stores for more than 25 years and attended USU's business program.

Comments

  1. says

    Wow it is unbelievable what kind of depreciation other cities have experienced. Here in Omaha we have been pretty sheltered with about a 20 percent loss in value for homes over 500k about 10 percent from 200-500 and only about 5 percent below that. Still way to much inventory. Come on people start buying!

  2. says

    Hi Lisa ~ Well I guess the challenges continue. Knock on wood, the Cambridge MA real estate market has been fairly stable. And I get the feeling it’s going to be a good spring.

  3. says

    I agree Mark buy, Buy, BUY! Par is historically low. Inventory is Up. The time to buy is TODAY! Quick Comparing Jan.2010 to Jan.2011 for Mpls/St.Paul, MN “the twin cities” Pending property sales increased 3.7% from 2010. However, Supply of inventory grew 14% from a year ago and is expected to continue. Presenting a challenge for sellers, without the mass of buyer’s trying to “land” their $8k tax credit. Median sale prices decreased 10.8% from Jan.2010 to $140k. It’s important to mention last month,Jan2011 Over 50% of sales were REOs & Shorts. On a positive note traditional sale prices increased 1.9% from a year ago to $201.500. Absorption rate was up in Jan.2011 to 7.6% from 5.5% Jan2010. (where a balanced mkt has 5-6 months of supply) This according to the Mpls.Assoc.of Realtors.

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