House prices in the US’s 20 largest cities dropped 2.8% in January in another sign that the bottom of the housing market may still be some way off, according to the Case-Shiller index.

Housing prices across the country are down 19% on the year, the largest fall since the index started in 2000.

Prices in the 10-city index dropped 2.5% in January, leaving them more than 30% below their peak in mid-2006. The cost of housing, which rose at roughly the rate of inflation from 1987 to 2000, the first 13 years of the index, grew more than 90% in real terms between 2000 and the market’s peak.

Financial Times, Daily Telegraph