Case-Shiller Index Screams Housing Double Dip

[Hannah Bell]

Just when you thought the real estate market was showing signs of a recovery, reality rears its ugly head.

According to the latest figures from the Case-Shiller Home Price Index, prices have started to slip again pointing to a double dip in home values. Nationally, home prices dropped 1.5% in September.

That's a trend that Case-Shiller expects to continue since earlier this month they forecast a further 7.1% drop in home prices into the second quarter of 2011.

In all, 18 of the 20 metropolitan statistical areas that are measured by the S&P/Case Shiller index reported home price decreases for the quarter, although they are still above their low points from the spring of 2009.

http://www.wealthdaily.com/articles/case-shiller-index-screams-housing-double-dip/2862

[ixion]

1. The second wave of loan resets has already started

and will continue through 2011. It's the Alt-A and Option ARM loans this time, rather than the sub-prime, and the wave will actually be bigger than the last one.