Home Prices Plunge by Record 15.4% in Quarter

New York, NY, Aug. 26, 2008--U.S. home prices fell a record 15.4 percent in the second quarter compared to a year ago, according to the latest S&P/Case-Shiller national home price index.

The survey showed no signs that the pace of home-price declines is moderating. The loss was even larger than the record 14.2 percent drop posted in the first three months of 2008.

Both the Case-Shiller 10-city and 20-city indexes also posted record year over year losses in the second quarter, down 17 percent and 15.9 percent respectively.

However, in June the pace of monthly declines slowed slightly compared with May. Prices for the 10-city index declined 16.9 percent year-over-year and the 20-city index was down 15.8 percent.

"While there is no national turnaround in residential real estate prices, it is possible that we are seeing some regions struggling to come back, which has resulted in some moderation in price declines at the national level" says David Blitzer, chairman of the Index Committee at Standard & Poor's, in a press release.

The worst performing city in the index was Las Vegas, where prices plunged 28.6 percent year-over-year, followed by Miami, down 28.3 percent, and Phoenix, down 27.9 percent.

In June, Phoenix prices dropped 2.6 percent from May, the largest decline of any city in the index.

Denver and Boston were winners for the month, with home prices climbing 1.5 percent and 1.2 percent, respectively. Both of these markets have had three consecutive months of higher prices. Charlotte and Dallas, both up 1%, have recorded four straight months of gains.