Home prices fall a record 15.6%

Year-over-year prices may have fallen at a record pace, but there are signs of improvement.

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By Les Christie, CNNMoney.com staff writer

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NEW YORK (CNNMoney.com) -- Median home prices fell a record 15.6% during the three months ended June 30, compared to the same period in 2008, according to an industry report.

There is good news though: The survey from the National Association of Realtors reported the median home price rose 4% compared to the first quarter of 2009 -- to $174,100 from $167,300.

The increase in median price was not a surprise, representing, as it did, the traditionally strong spring selling season. But the jump did offer the prospect that the worst of the price declines may be behind us.

"With low interest rates, lower home prices and a first-time buyer tax credit, we've been seeing healthy increases in home sales, which are a hopeful sign for the economy," said Lawrence Yun, NAR's chief economist..

In the vast majority of metro areas -- 129 out of 155 -- median prices dropped year-over-year. Some of the decline can be traced to an increase in the percentage of foreclosures and short sales. They accounted for 36% of all transactions during the quarter.

These "distressed properties" are usually sold at discounts of at least 15% compared with traditional sales.

Patrick Newport, a real estate analyst for IHS Global Insight, while admitting the year-over-year results are still awful, said recent evidence indicates that prices are stabilizing.

"The state sales data show sales picking up across the country," he said.

Newport expects prices and sales to trend down again, especially when the impact of the first-time homebuyers tax credit starts to fade. The credit ends December 1. "Afterward, sales will take a hit," he said.

His forecast is for prices to drop another 5% this year, driven down by added inventory as the foreclosure plague continues to worsen.

Cheapest and priciest areas

The Cape Coral metro area in Florida recorded the largest decline: 52.8% to $84,000. Davenport, Iowa, had the biggest gain: 30.6% to $113,200.

The lowest priced market in the nation is now Saginaw, Mich., where the median home sold for $55,700 during the quarter, a 30.6% drop over last year. The most expensive market was Honolulu, with a median price of $569,500 -- although that's still a 10.5% discount from a year ago. San Jose, Calif. led all mainland cities at $500,000 but that was still down a whopping 33.8% from a year ago.

Condo market

Condo prices have taken an even more severe beating. They fell 19.8% year-over-year, but rose 3.6% quarter-over-quarter.

If you're in the market for a condo in Las Vegas, you may never find a better time. Prices dropped 54.1% compared with the second quarter of 2008 and fell 11.7% between the first and second quarters of 2009. The median price now stands at a bargain basement $66,400.

Condo prices rose year-over-year in only four of 61 metro areas surveyed by NAR. The biggest gain was in Virginia Beach, where prices went up 2.8%. Wichita, Kan. (2%), Dallas (0.7%) and Colorado Springs (0.2%) were the only other gainers.

The most expensive condo market was San Francisco, where the median price was $405,700, down 22.5% from a year ago. Las Vegas was the cheapest condo market by far, with Reno a distant second at $103,100. To top of page

NAR 2nd quarter 2009 home prices
Metro Area State Median home price
2nd Quarter
Percent change from
2nd Quarter 2008
Akron OH $88,000 -17.4%
Albany-Schenectady-Troy NY $189,400 -4.5%
Albuquerque NM $182,200 -8.6%
Allentown-Bethlehem-Easton PA-NJ $225,600 -10.3%
Amarillo TX $127,300 2.2%
Anaheim-Santa Ana CA $468,100 -19.0%
Appleton WI $113,900 -15.6%
Atlanta-Sandy Springs-Marietta GA $121,400 -23.3%
Atlantic City NJ $218,700 -14.5%
Austin-Round Rock TX $194,000 -0.1%
Baltimore-Towson MD $253,000 -9.8%
Barnstable Town MA $325,600 -7.0%
Baton Rouge LA $168,500 1.7%
Beaumont-Port Arthur TX $138,600 11.0%
Binghamton NY $117,700 -2.6%
Birmingham-Hoover AL $152,300 -6.9%
Bismarck ND $157,800 3.5%
Bloomington-Normal IL $153,000 0.1%
Boise City-Nampa ID $187,900 -1.6%
Boston-Cambridge-Quincy MA-NH** $336,100 -8.3%
Boulder CO $373,300 -0.7%
Bridgeport-Stamford-Norwalk CT $442,900 -1.6%
Buffalo-Niagara Falls NY $115,400 6.7%
Canton-Massillon OH $101,500 -1.3%
Cape Coral-Fort Myers FL $84,000 -52.8%
Cedar Rapids IA $141,700 0.4%
Champaign-Urbana IL $141,000 -1.3%
Charleston WV $198,200 -7.9%
Charleston-North Charleston SC $131,200 -4.0%
Charlotte-Gastonia-Concord NC-SC $199,700 -0.8%
Chattanooga TN-GA $125,700 -5.1%
Chicago-Naperville-Joliet IL $204,300 -20.7%
Cincinnati-Middletown OH-KY-IN $129,600 -7.1%
Cleveland-Elyria-Mentor OH $116,200 -1.1%
Colordo Springs CO $189,000 -12.0%
Columbia MO $144,300 -1.5%
Columbia SC $137,900 -7.8%
Columbus OH $136,600 -6.2%
Corpus Christi TX $133,400 -7.6%
Cumberland MD-WV $123,500 21.7%
Dallas-Fort Worth-Arlington TX $150,700 -0.2%
Danville IL N/A N/A
Davenport-Moline-Rock Island IA-IL $113,200 30.6%
Dayton OH $106,500 -8.9%
Decatur IL $91,300 -3.1%
Deltona-Daytona Beach-Ormond Beach FL $127,200 -26.6%
Denver-Aurora CO $223,700 -0.7%
Des Moines IA $150,100 -4.2%
Detroit-Warren-Livonia MI N/A N/A
Dover DE $193,700 -4.4%
Durham NC $185,500 -0.2%
El Paso TX $85,000 11.3%
Elmira NY $131,800 -4.3%
Erie PA $98,100 -5.6%
Eugene-Springfield OR $202,400 -12.1%
Fargo ND-MN $141,200 0.7%
Farmington NM $188,600 -2.2%
Florence SC $115,500 1.1%
Ft. Wayne IN $94,600 -2.0%
Gainesville FL $178,200 -13.0%
Gary-Hammond IN $115,100 -15.6%
Glens Falls NY $152,400 -9.2%
Grand Rapids MI $86,500 -23.1%
Green Bay WI $141,300 -6.1%
Greensboro-High Point NC $141,800 -7.4%
Greenville SC $140,000 -12.7%
Gulfport-Biloxi MS $138,700 -3.2%
Hagerstown-Martinsburg MD-WV $164,900 -14.6%
Hartford-West Hartford-East Hartford CT $234,100 -7.8%
Honolulu HI $569,500 -10.5%
Houston-Baytown-Sugar Land TX $157,400 2.6%
Indianapolis IN $121,300 2.4%
Jackson MS $140,100 8.2%
Jacksonville FL $152,700 -18.3%
Kalamazoo-Portage MI N/A N/A
Kankakee-Bradley IL $132,200 -1.3%
Kansas City MO-KS $144,100 -5.7%
Kennewick-Richland-Pasco WA $163,900 0.3%
Kingston NY $207,000 -18.1%
Knoxville TN $144,700 -5.8%
Lansing-E.Lansing MI $81,200 -25.1%
Las Vegas-Paradise NV $141,800 -39.7%
Lexington-Fayette KY $142,700 -2.8%
Lincoln NE $133,100 -0.3%
Little Rock-N. Little Rock AR $134,600 0.7%
Los Angeles-Long Beach-Santa Ana CA $311,100 -25.7%
Louisville KY-IN $132,700 -1.6%
Madison WI $214,200 -0.058
Manchester-Nashua NH $222,600 -12.6%
Memphis TN-MS-AR $121,100 -8.0%
Miami-Fort Lauderdale-Miami Beach FL $207,400 -33.1%
Milwaukee-Waukesha-West Allis WI $218,100 -0.8%
Minneapolis-St. Paul-Bloomington MN-WI $184,500 -12.5%
Mobile AL $128,800 -7.3%
Montgomery AL $134,200 -6.9%
NY: Edison NJ N/A N/A
NY: Nassau-Suffolk NY $236,200 -14.3%
NY: Newark-Union NJ-PA $165,800 1.8%
Nashville-Davidson--Murfreesboro TN $379,800 -16.3%
New Haven-Milford CT $425,200 -14.9%
New Orleans-Metairie-Kenner LA $331,700 -11.2%
New York-Northern New Jersey-Long Island NY-NJ-PA $386,800 -17.1%
New York-Wayne-White Plains NY-NJ $379,400 -9.7%
Norwich-New London CT $216,200 -10.5%
Ocala FL $110,200 -25.3%
Oklahoma City OK $128,300 -2.1%
Omaha NE-IA $134,900 -2.2%
Orlando FL $149,200 -33.2%
Palm Bay-Melbourne-Titusville FL $104,100 -29.7%
Pensacola-Ferry Pass-Brent FL $147,800 -8.6%
Peoria IL $126,100 1.0%
Philadelphia-Camden-Wilmington PA-NJ-DE-MD $211,000 -10.5%
Phoenix-Mesa-Scottsdale AZ $131,100 -36.1%
Pittsburgh PA $124,200 -0.8%
Pittsfield MA $189,000 -15.2%
Portland-South Portland-Biddeford ME $209,400 -9.4%
Portland-Vancouver-Beaverton OR-WA $246,200 -13.9%
Providence-New Bedford-Fall River RI-MA $215,700 -19.9%
Raleigh-Cary NC $211,300 -0.9%
Reading PA $151,900 -1.1%
Reno-Sparks NV $192,100 -30.0%
Richmond VA $211,200 -11.7%
Riverside-San Bernardino-Ontario CA $161,500 -39.1%
Rochester NY $119,100 -0.1%
Rockford IL $113,400 -6.0%
Sacramento--Arden-Arcade--Roseville CA $177,500 -22.7%
Saginaw-Saginaw Township North MI $55,700 -30.6%
Saint Louis MO-IL $133,600 -10.1%
Salem OR $191,200 -11.6%
Salt Lake City UT $216,500 -7.6%
San Antonio TX $153,100 -3.2%
San Diego-Carlsbad-San Marcos CA $347,100 -20.2%
San Francisco-Oakland-Fremont CA $472,900 -31.0%
San Jose-Sunnyvale-Santa Clara CA $500,000 -33.8%
Sarasota-Bradenton-Venice FL $175,800 -34.0%
Seattle-Tacoma-Bellevue WA $328,400 -13.7%
Shreveport-Bossier City LA $146,800 3.0%
Sioux Falls SD $146,000 1.1%
South Bend-Mishawaka IN $88,100 -1.5%
Spartanburg SC $122,700 -5.8%
Spokane WA $177,800 -9.6%
Springfield IL $116,200 3.5%
Springfield MA $189,500 -9.3%
Springfield MO $120,900 -0.2%
Syracuse NY $124,600 0.8%
Tallahassee FL $149,800 -10.0%
Tampa-St.Petersburg-Clearwater FL $140,900 -22.1%
Toledo OH $87,100 -16.3%
Topeka KS $113,300 2.7%
Trenton-Ewing NJ $254,300 -20.3%
Tucson AZ $174,100 -19.4%
Tulsa OK $133,200 0.9%
Virginia Beach-Norfolk-Newport News VA-NC $216,000 -4.0%
Washington-Arlington-Alexandria DC-VA-MD-WV $319,200 -14.0%
Waterloo/Cedar Falls IA $106,700 -7.5%
Wichita KS $125,300 -0.4%
Worcester MA $220,300 -10.9%
Yakima WA $162,800 0.3%
Youngstown-Warren-Boardman OH-PA $71,500 -0.3%
U.S.   $174,100 -13.8%
NE   $246,000 -15.9%
MW   $146,800 -6.8%
SO   $158,600 -10.8%
WE   $212,600 -19.8%
Note1: California prices provided by the California Association of REALTORS®
*All areas are metropolitan statistical areas (MSA) as defined by the US Office of Management and Budget as of 2004. They include the named central city and surrounding areas. N/A Not Available p Preliminary r Revised
Most current data available
© 2008 National Association of REALTORS®
Metro Area State Median Price
2Q 2009
% Change
(1-yr)
Albuquerque NM $149,200 -0.2%
Atlanta-Sandy Springs-Marietta GA N/A N/A
Austin-Round Rock TX $156,700 -10.6%
Baltimore-Towson MD $210,800 -7.8%
Bismarck ND $113,300 -11.8%
Boston-Cambridge-Quincy MA-NH $277,400 -9.4%
Boulder CO $204,000 -5.5%
Bridgeport-Stamford-Norwalk CT $233,300 -10.9%
Cape Coral-Fort Myers FL $116,610 -36.0%
Chicago-Naperville-Joliet IL $202,700 -17.0%
Cincinnati-Middletown OH-KY-IN $111,800 -8.7%
Cleveland-Elyria-Mentor OH N/A N/A
Colorado Springs CO $142,500 0.2%
Columbus OH $118,100 -2.4%
Dallas-Fort Worth-Arlington TX $137,800 0.7%
Greensboro-High Point NC $109,300 -0.3%
Hartford-West Hartford-East Hartford CT $169,800 -1.9%
Honolulu HI $318,400 -3.5%
Houston-Baytown-Sugar Land TX $137,600 -2.7%
Indianapolis IN $112,800 -0.6%
Jacksonville FL $109,700 -24.3%
Knoxville TN $140,200 -3.2%
Las Vegas-Paradise NV $66,400 -54.1%
Los Angeles-Long Beach-Santa Ana CA $213,900 -34.7%
Louisville KY-IN $115,900 -8.2%
Madison WI $151,800 -5.3%
Manchester-Nashua NH $153,600 -13.3%
Miami-Fort Lauderdale-Miami Beach FL $105,100 -41.1%
Milwaukee-Waukesha-West Allis WI $157,300 -9.1%
New Haven-Milford CT $173,400 -9.2%
New Orleans-Metairie-Kenner LA $183,000 -4.7%
Norwich-New London CT $169,200 -9.1%
New York-Wayne-White Plains NY-NJ $258,400 -19.2%
NY: Newark-Union NJ-PA $276,600 -10.0%
NY:Edison NJ $254,100 -6.3%
NY:Nassau-Suffolk NY $236,400 -7.7%
Palm Bay-Melbourne-Titusville FL $129,280 -16.0%
Philadelphia-Camden-Wilmington PA-NJ-DE-MD $194,500 -1.8%
Phoenix-Mesa-Scottsdale AZ $104,100 -43.0%
Portland-South Portland-Biddeford ME $190,000 -3.7%
Portland-Vancouver-Beaverton OR-WA $196,100 -7.3%
Providence-New Bedford-Fall River RI-MA $181,500 -15.7%
Reno-Sparks NV $103,100 -36.0%
Richmond VA $175,700 N/A
Riverside-San Bernardino-Ontario CA N/A N/A
Rochester NY $115,600 -7.2%
Sacramento--Arden-Arcade--Roseville CA $101,200 -30.4%
Salt Lake City UT $156,900 -6.0%
San Diego-Carlsbad-San Marcos CA $205,500 -28.7%
San Francisco-Oakland-Fremont CA $405,700 -22.5%
Sarasota-Bradenton-Venice FL $177,600 -43.1%
Springfield MA $144,100 -7.3%
Syracuse NY $117,400 -19.0%
Tampa-St. Petersburg-Clearwater FL $108,100 -31.0%
Toledo OH $125,700 -5.7%
Trenton-Ewing NJ $198,700 -20.3%
Tucson AZ $102,500 -28.5%
Virginia Beach-Norfolk-Newport News VA-NC $195,000 2.6%
Washington-Arlington-Alexandria DC-VA-MD-WV $244,800 -11.7%
Wichita KS $109,500 2.0%
Worcester MA $160,400 -15.4%
U.S.   $176,900 -19.8%
NE   $236,500 -8.0%
MW   $159,000 -20.5%
SO   $131,600 -25.4%
WE   $162,200 -32.4%
*All areas are metropolitan statistical areas (MSA) as defined by the US Office of Management and Budget as of 2004.
** Boston-Cambridge-Quincy, MA-NH - Data from New Hampshire not available
They include the named central city and surrounding areas. N/A Not Available p Preliminary r Revised
© 2008 National Association of REALTORS®
State Total Sales % Change
(1-yr)
ALABAMA $70,800 -21.0%
ALASKA $20,400 -8.9%
ARIZONA $154,000 41.5%
ARKANSAS $59,200 -10.3%
CALIFORNIA $469,600 20.8%
COLORADO $88,000 -18.2%
CONNECTICUT $42,000 -13.9%
DELAWARE $11,200 -3.4%
District of Columbia $7,600 5.6%
FLORIDA $328,000 20.9%
GEORGIA $165,200 -4.8%
HAWAII $16,400 -19.6%
IDAHO $26,800 -1.8%
ILLINOIS $159,600 -15.3%
INDIANA $98,400 -16.9%
IOWA $52,400 1.6%
KANSAS $50,400 -17.1%
KENTUCKY $66,800 -12.6%
LOUISIANA $53,200 -15.8%
MAINE $20,400 -5.6%
MARYLAND $66,800 4.4%
MASSACHUSETTS $93,600 -12.0%
MICHIGAN $158,000 10.0%
MINNESOTA $106,800 12.7%
MISSISSIPPI $37,600 -28.8%
MISSOURI $95,200 -11.5%
MONTANA $19,600 -3.9%
NEBRASKA $33,200 6.4%
NEVADA $100,400 76.8%
NEW HAMPSHIRE $17,600 -6.4%
NEW JERSEY $104,400 -10.8%
NEW MEXICO $29,600 -15.9%
NEW YORK $248,000 -5.5%
NORTH CAROLINA $124,000 -26.5%
NORTH DAKOTA $10,400 -18.8%
OHIO $228,400 -0.7%
OKLAHOMA $79,600 -5.7%
OREGON $46,800 -15.2%
PENNSYLVANIA $146,400 -15.1%
RHODE ISLAND $13,600 No Chg
SOUTH CAROLINA $67,200 -20.8%
SOUTH DAKOTA $15,600 -7.1%
TENNESSEE $102,800 -17.9%
TEXAS $416,000 -16.7%
UTAH $29,600 -10.8%
VERMONT $9,600 -17.2%
VIRGINIA $110,400 -1.4%
WASHINGTON $72,800 -19.8%
WEST VIRGINIA $24,400 -6.2%
WISCONSIN $78,400 -10.5%
WYOMING $8,400 -22.2%
United States $4,757,000 -2.9%
Northeast $797,000 -8.4%
Midwest $1,063,000 -5.3%
South $1,763,000 -7.2%
West $1,133,000 11.8%
N/A Not Available r Revised p Preliminary
© 2008 National Association of REALTORS®
Note: State will not add up to national/regional totals due to independent samples.
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