“Home prices continue on their downward spiral with no relief in sight”
– David M. Blitzer, Chairman of the Index Committee at S&P Indices.
Data through March 2011 shows that the U.S. National Home Price Index declined by 4.2% in the first quarter of 2011. Since December 2010, we have found an increasing number of markets posting new lows. In March 2011, 12 cities – Atlanta, Charlotte, Chicago, Cleveland, Detroit, Las Vegas, Miami, Minneapolis, New York, Phoenix, Portland (OR) and Tampa – fell to their lowest levels as measured by the current housing cycle.
Meanwhile, the Homebuilders ETF ($XHB) is less than 2% from making new 52-week HIGHS. But the usual suspects are not even close. $KBH $LEN $PHM $USG all still have a long way to go before they can get back to their February highs. The fund’s name – “SPDR S&P Homebuilders” is deceiving.
Read the latest from Case-Shiller at Calculated Risk