Worst May Be Over for Home Market

While national home prices have fallen again to a level that has not been seen since 2002, there is evidence that the situation may have hit rock bottom and is creeping back upwards for some areas of the country.

According to The Standard & Poor’s/Case-Shiller National Home Price index, home prices have fallen 19.1 percent in the first quarter compared to last year, 32.2 percent compared to their peak in 2006. The drop from last year to today represents the largest drop in the history of the index.

Image: Flickr

Home prices vary remarkably from city to city depending on the local economy, foreclosure activity, and affordability. For some markets, the situation has gotten as bad as it is going to get, while others have not even come close to the bottom. Nationally, however, home prices are expected to creep downward for the rest of the year.