U.S. home values dropped at the fastest pace on record in November as the fury of the financial storm hit housing market.
Home prices fell a record 1.8% in November, according to the Federal Housing Finance Agency. That’s the largest one-month decline since 1991 when the agency began tracking repeat sales data from Fannie Mae and Freddie Mac.
Home prices fell in all nine regions of the country in November, the agency said. FHFA runs Fannie and Freddie following the government takeover in September.
In the past year, home prices are down a record 8.7%, compared with a 7.5% drop through October. Prices have fallen 22% in the Pacific region in the past year.
Since the peak in early 2007, national home prices are down 10.5%, with declines in all nine regions, FHFA said.
Home prices in the U.S. dropped the most in at least 18 years and builders broke ground on the fewest houses since record-keeping began as the recession deepened, government reports said today.
Prices in November declined 8.7 percent from a year earlier, the biggest drop in records going back to 1991, the Federal Housing Finance Agency said today in Washington. Housing starts fell 16 percent last month to an annual rate of 550,000, the lowest since the government started compiling statistics in 1959, the Commerce Department said.
A wealth of other home price data has shown that November and December were rough months for the nation’s varied housing markets; new data released Thursday morning by the Federal Housing Finance Agency shows that housing woes are continuing to extend their reach into conforming lending markets, as well.
Prices in November now roughly correspond to home values last seen in March 2005, according to the report. And if our premonitions are correct, we still have further to fall in the months ahead.
U.S. home prices fell 1.8 percent between October and November 2008, more than the 1.1 percent decline in the previous month, according to a government report.
The Federal Housing Finance Agency’s monthly house price index also showed that prices declined 8.7 percent in the 12 months ended in November. Since April 2007, when the index peaked, prices have fallen 10.5 percent, the report showed.