Research Firm: Double Dip has Come and Gone
June 3rd, 2011
According to Altos Research, there was a double dip home prices, but that problem has come and gone [1]. In the wake of S&P/Case-Schiller numbers released earlier this week indicated that home prices have hit a new recession low, Altos, which uses active listing data in order to provide a “more real-time view,” says that data gathered since March (the end-point for the S&P numbers) indicates that prices have steadily risen since that point in time. Corelogic also recently released a report indicating that since the S&P report, home prices have risen nationally by 0.7 percent.
Critics of S&P have quickly jumped to point out that it releases numbers that are often misleading because it uses data that is older than that employed by CoreLogic and companies like Altos. It does seem careless for S&P indices chairman David Blitzer to announce that “home prices continue on their downward spiral with no relief in sight” when relief is clearly, based on April and May numbers, at least potentially a speck on the horizon [2].
Given how heavily the real estate market relies on investors’, buyers’ and sellers’ perception of value in order to grow, do you think that S&P is being a little irresponsible or are they just reporting the news?
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[1]http://www.dsnews.com/articles/double-dip-altos-says-prices-have-been-steadily-rising-since-then-2011-06-02
[2]http://money.usnews.com/money/personal-finance/articles/2011/06/02/why-home-prices-are-double-dipping
June 3rd, 2011 at 12:41 PM
I still agree with the S&P. Yes, the numbers thay are using may be older, but the numbers being used by CoreLogic and Altos are inflated because they are taking numbers from months that are traditionally considered high real estate sales months. Tell me where the prices are when we can used September thru January numbers again.