Home prices fell 4.2 percent during the first quarter, sending U.S. housing prices into a double dip and reaching a new post-bubble low, according to the latest S&P/Case-Shiller Home Price Indices. Housing prices are down 33.1 percent from a July 2006 high and are now on par with mid-2002 levels.
"This month's report is marked by the confirmation of a double-dip in home prices across much of the nation," said David M. Blitzer, chairman of the Index Committee at S&P Indices. "Home prices continue on their downward spiral with no relief in sight. The rebound in prices seen in 2009 and 2010 was largely due to the first-time home buyers tax credit. Excluding the results of that policy, there has been no recovery or even stabilization in home prices during or after the recent recession. Further, while last year saw signs of an economic recovery, the most recent data do not point to renewed gains."
