USA Property Prices Hit Turning Point
Standard and Poors' the US credit rating Agency, maintains a detailed statistical analysis of the USA property market called the Shiller House Price Index. Their latest property data makes interesting reading.
The latest set of data show that both their 10 city and 20 city composite index has moved into positive growth territory for the first time since 2006! This is very substantial evidence that the USA property crash has now bottomed out and in some states is back in very positive territory.
Clearly there is a lot of foreclosure property which will continue to be available to investors for a while yet, but with the retail market now picking up - in large part due to Obama's housing incentive and support programs - there is now a limited window of time to acquire property at rock bottom prices.
The chart below shows the price increases and decreases over time. You can see that we are now back in positive territory in terms of current price trends

The table below shows the 10 and 20 city composite property values over the last 12 months. You can see that the 12 month figures are both positive - 3.1% and 2.3% respectively. This indicates that overall price growth in the USA property market has now moved into positive territory, albeit with significant regional variations.

What do you make of these figures? Do you agree it is time to invest in the USA now? Please comment below.
Live with Abundance

Rod Thomas FCA
Posted in USA Property


Post a comment