I’m running out of ways to say that home prices are falling so I’m going to have to start recycling headlines. But what’s interesting about March’s Case Shiller home price index numbers for Chicago is that condo prices in the city continue to fall at a much faster rate than single family home prices – despite the fact that condo prices never went up as much as single family home prices to begin with. You can see the long term trend for both price indices below.
Note how prices continue to fall even further below the long term trend line for Chicago.
Single family home prices fell an additional 2.4% in March, which represents a 7.6% year over year drop, while condo prices fell another whopping 4.5% or 13.5% year over year. That means that single family homes in Chicago have now lost 34.4% of their bubble peak value and are back to April 2001 levels. On the other hand condos have lost 36.3% of their bubble value and are back to March 2000 levels.
Have An Opinion On Where Housing Prices Are Going?
Just wanted to remind you that we have a Chicago housing price forecast contest going on with $500 in prize money. The contest is a consensus forecasting project and as of the time of this post the consensus is that Chicago home prices will fall an additional 2.1% by June.