Tuesday, June 28, 2011
The top chart compares the Case Shiller Home Price Index with the RadarLogic Home Price Index. Rarely do you see two indices such as these that use different methodologies to measure complex phenomena track so closely. The bottom chart is a closeup look at the RadarLogic index. What both indices show is what looks to me like a bottoming process that has been taking place over the past two years. Yes, prices are still slipping on a year over year basis, but how much more do they have to fall to clear the market if real home prices are already 39% below their peak, and mortgage rates are at historically low levels? Not much more, is my guess.
Posted by Scott Grannis at 8:34 AM