Making Sense of Housing Data - |

Armando Montelongo Team Blog

Making Sense of Housing Data

Looking at the dizzying array of data involved in home-value indices like the S&P/Case-Shiller indices can be overwhelming.

The research dates to 1987 for most of the cities in the monthly report, and for all of them since S&P added the 20-city index in January 2000.

Distilled to their essence, the numbers can have significant meaning for real estate investors. Dramatic growth coupled with dramatic falls can produce good deals.

For example, the home price index in Las Vegas grew 134 percent from January 2000 to its peak in April 2006, but was down 61.6 percent since then – and 9.9 percent overall. The numbers are similar for Phoenix, where values were down just under 1 percent for the 11-year period.

In contrast, Detroit and Cleveland did not have the dramatic growth in values. But the downturn hit both places hard, as values there are down from 2000.

Atlanta, Chicago, Cleveland, Las Vegas, Miami, New York, Phoenix, Portland, Seattle and Tampa were at their lowest points since the peak in November, when the latest numbers were issued.

Places where growth was more moderate – Dallas, for example – have had more-restrained numbers for the last 11 years. The boom-period growth for Dallas was just 24.8 percent and the fall was 9.4 percent. Values in Dallas are up 11.8 percent in the last 11 years.

Dallas is one of 10 markets where the index has begun to rise.

Here are the values for the 20 cities in the S&P index, with the percentage growth in the city’s index from January 2000 to the month of its peak, the month when values peaked, the month when values were lowest, the change from the peak to the low and the change from 2000 to the latest report, in November:

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