The S&P/Case-Shiller index indicated that there was a 1.5 percent nationwide decline in home prices in the third quarter of 2010 compared to 2009. The 10 and 20-city composites recorded positive annual returns of 1.6 percent and 0.6 percent, respectively.
Experts say some of the bad numbers may reflect the end of the government’s tax incentives for first time buyers, but it was noted that there are other problems facing the market. David M. Blitzer, chairman of the index committee at Standard & Poor's, says, “The national economy is certainly the number one issue for housing.” he commented. “New construction is running at less than half the pace needed to meet normal demand, so a sustained recovery could be a ways off.”
As home prices continue to remain low, the Conference Board’s Consumer Confidence Index increased to 54.1 in November, which is up from 49.9 in October. Buyers who are interested in moving and have the confidence to do so may find reasonably priced homes.
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