U.S. home prices continued to fall in February, with prices down 1.5% in 10 major cities compared with a year ago, according to the S&P/Case-Shiller home price index released Tuesday.Home prices depreciated year-over-year for the second straight month, falling at the fastest pace since late 1993.
A year ago, prices were rising 14%.
In 20 major cities, prices are down 1% in the past year, the biggest decline ever in that series that dates back to 2000.
"The deceleration and declines in home prices are showing no signs of turnaround," S&P said in a release.
Prices will probably continue falling, said Goldman Sachs economists in a research note. "We expect [the index] to be down about 5% by the end of 2007. If anything, it's getting there a bit faster than we anticipated," they wrote.
Prices fell year-over-year in 13 of the 20 cities, led by Detroit (down 7.8%), San Diego (down 5%), Boston (down 4.7%) and Washington (down 4.3%).
On the other hand, prices have risen 10.6% in the past year in Seattle, 7.7% in Portland, Ore., and 7.3% in Charlotte, N.C.
Other cities in the index: Atlanta, up 2.1% year-on-year; Chicago, up 1.7%; Cleveland, down 2.7%; Dallas, up 1.3%; Denver, down 1.6%; Las Vegas, down 1%; Los Angeles, down 0.4%; Miami, up 2.9%; Minneapolis, down 1.6%; New York, down 1.8%; Phoenix, down 2.1%; San Francisco, down 2.2%; and Tampa, down 1.1%.
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