Home prices probably fell in January for the first time in eight months, one reason Americans are concerned about the state of the US economy.
The S&P/Case-Shiller index of property values in 20 cities dropped 0.3% in January from a month earlier on a seasonally adjusted basis, according to the median forecast of 18 economists surveyed by Bloomberg News. A gauge of consumer confidence this month recouped less than half of the 10.5-point drop in February, a report from the Conference Board may show.
A decrease in prices underscores the threat a rising tide of foreclosures poses to the housing market, which helped trigger the worst recession since the 1930s. A real-estate relapse, combined with the loss of 8.4 million jobs since the economic slump began, would jolt sentiment and cut short an emerging recovery in household spending.
bloomberg.com
No comments yet