Industry NewsMarkets & Economy

‘Inflection point’ for home prices seen

S&P: Pace of annual declines peaked in January

Learn the New Luxury Playbook at Luxury Connect | October 18-19 at the Beverly Hills Hotel

Two indexes tracking home prices in major markets continue to show double-digit annual price declines, but the pace of those declines slowed for the fourth consecutive month during May, Standard & Poor's said.A clear inflection point has emerged in the rate of annual price declines measured by the S&P-Case-Shiller 10- and 20-City composite price indexes, Standard & Poor's said.After 16 consecutive months of record annual declines that began in October 2007, year-over-year price declines appear to have peaked in January 2009.The 20-City Composite index, for example, showed prices down by 17.1 percent in May compared to a year ago. The annual decline in April was 18.1 percent, and now appears to have peaked at 19 percent in January. Looking at individual markets, all but three metro areas in the 20-City Composite saw smaller year-over-year price declines than in April.Although month-to-month price changes are a less reliable measure than annual price changes, the 10-City and ...