Home prices down – due to distressed sales

lego houseFor the fourth consecutive month, U.S. home prices fell, according to CoreLogic, as distressed sales continue to plague the housing market. CoreLogic’s home price index fell 1.4 percent in November from October and slid 4.3 percent from November 2010, representing a larger annual slide than the month prior.

It is notable that when distressed sales are excluded from the data, prices only fell 0.6 percent year over year, given that distressed homes typically sell at a reduced price. “Distressed sales continue to put downward pressure on prices and is a factor that must be addressed in 2012 for a housing recovery to become a reality,” Dr. Mark Fleming, CoreLogic’s Chief Economist said in a statement.

The five states with the highest appreciation in November are Vermont (+4.3 percent), South Carolina (+2.8 percent), District of Columbia (+2.1 percent), Nebraska (+1.9 percent) and New York (+1.7 percent). When distressed sales were excluded, the five states with the highest appreciation were: Maine (+4.9 percent), South Carolina (+4.9 percent), Montana (+3.8 percent), Indiana (+3.3 percent) and Louisiana (+2.4 percent).

The lowest appreciation rates were seen in Nevada (-11.2 percent), Illinois (-9.7 percent), Minnesota (-7.8 percent), Georgia (-7.7 percent) and Ohio (-7.2 percent). Excluding distressed sales, the five states with the greatest depreciation were Nevada (-8.8 percent), Arizona (-4.9 percent), Minnesota (-4.7 percent), Idaho (-4.1 percent) and Georgia (-3.6 percent).

Fully 77 percent of all areas studied by CoreLogic experienced annual declines for the month, three less than in October.
hpi graph Home prices drop mostly due to distressed sales
corelogic hpi Home prices drop mostly due to distressed sales
corelogic hpi excluding Home prices drop mostly due to distressed sales
cbsa1 Home prices drop mostly due to distressed sales

7 Cities Where List Prices Are Falling the Most

home-prices-fallingWith the Seattle Times announcing yesterday the 1% decrease in home prices, a look at what is happening elsewhere seems to be in order. Nationally, median list prices have mostly been flat since June, but some markets are still seeing some decreases in home prices, according to the latest data from Realtor.com of 146 metro markets.

 

The following are the cities where list prices have fallen the most from October to November: 

 

1. Detroit

Month-over-month decrease: -4.61%

Year-over-year decrease: -12.47%

Median list price: $84,900

2. Monmouth-Ocean, N.J.

Month-over-month decrease: -4.32%

Year-over-year decrease: -3.05%

Median list price: $300,444

3. Santa Barbara-Santa Maria-Lompoc, Calif.

Month-over-month decrease: -3.52%

Year-over-year decrease: -1.95%

Median list price: $539,250

4. Pueblo, Colo.

Month-over-month decrease: -3.45%

Year-over-year increase: 0.29%

Median list price: $139,900

5. Tulsa, Okla.

Month-over-month decrease: -3.38%

Year-over-year decrease: -5.34%

Median list price: $140,000

6. Peoria-Pekin, Ill.

Month-over-month decrease: -3.18%

Year-over-year increase: 3.71%

Median list price: $139,900

7. Charleston, W. Va.

Month-over-month decrease: -3.09%

Year-over-year increase: 6.67%

Median list price: $159,900