According to the January 2012 S&P/Case-Shiller Home Price Index, single-family home prices in the San Francisco MSA fell 2.5% from December 2011 to January 2012, down 5.9% year-over-year, down 42.5% from a peak in May 2006.
For the broader 10-City composite (CSXR), home values fell 0.8% from December to January, down 3.9% year-over-year, down 34.4% from a June 2006 peak.
“Despite some positive economic signs, home prices continued to drop. The 10- and 20- City Composites and eight cities – Atlanta, Chicago, Cleveland, Las Vegas, New York, Portland, Seattle and Tampa – made new lows,” says David M. Blitzer, Chairman of the Index Committee at S&P Indices.
“Detroit and Phoenix, two cities that have suffered massive price declines, plus Denver, saw increasing prices versus January 2011. The 10-City Composite was down 3.9% and the 20-City was down 3.8% compared to January 2011.”
“Atlanta continues to stand out in terms of recent relative weakness. It was down 2.1% over the month, and has fallen by a cumulative 19.7% over the last six months. It also posted the worst annual return, down 14.8%. Seven of the cities were down by 1.0% or more over the month.”
On a month-over-month basis, prices fell across all three San Francisco price tiers and the 2.5% aggregate decline was the largest of all Metropolitan Areas in the U.S.
The bottom third (under $302,275 at the time of acquisition) fell 0.7% from December to January (down 4.5% YOY); the middle third fell 1.0% from December to January (down 5.9% YOY); and the top third (over $549,932 at the time of acquisition) fell 2.5% from December to January, down 2.6% year-over-year (versus a 1.4% in December).
According to the Index, single-family home values for the bottom third of the market in the San Francisco MSA have dropped below May 2000 levels having fallen 60% from a peak in August 2006, the middle third has dropped to February 2002 levels having fallen 43% from a peak in May 2006, and the top third has dropped to November 2003 levels having fallen 28% from a peak in August 2007.
Condo values in the San Francisco MSA fell 1.5% from December ’11 to January ’12, down 6.9% year-over-year, down 37.9% from a December 2005 peak.
Our standard SocketSite S&P/Case-Shiller footnote: The S&P/Case-Shiller home price indices include San Francisco, San Mateo, Marin, Contra Costa, and Alameda in the “San Francisco” index (i.e., greater MSA) and are imperfect in factoring out changes in property values due to improvements versus appreciation (although they try their best).
∙ Case-Shiller: 2012 Home Prices Off to a Rocky Start [Standard & Poor's]
∙ S&P/Case-Shiller San Francisco: Homes Slip, Condos Dip In January [SocketSite]