EconoIndicators

Case-Shiller Housing Price Index At a Glance

• Composite 20 Index: 167.69
• Monthly Change: Down 0.85
• Composite 10 Index: 180.38
• Monthly Change: Down 1.1

Technorati Tags: Case-Shiller Index, housing prices, home prices

New York, August 26, 2008 – Data through June 2008, released today by Standard & Poor’s for its

S&P/Case-Shiller 1 Home Price Indices, the leading measure of U.S. home prices, shows continued broad

based declines in the prices of existing single family homes across the United States, a trend that

prevailed throughout 2007 and has continued through the first half of 2008.

Percent change, year ago

National Trend of Home Price Declines Continued through the First Half of 2008

According to the S&P/Case-Shiller Home Price Indices

S&P/Case-Shiller Home Price Indices

24% 24%

20% 20%

16% 16%

10 -City Composite

12% 12%

Percent change, year ago

8% 8%

20-City

4% 4%

Composite

U.S. National

0% 0%

-4% -4%

-8% -8%

-12% -12%

-16% -16%

-20% -20%

1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008

Source: Standard & Poor’s and Fiserv

The chart above depicts the annual returns of the U.S. National, the 10-City Composite and the 20-City

Composite Home Price Indices. The decline in the S&P/Case-Shiller U.S. National Home Price Index –

which covers all nine U.S. census divisions – remained in double digits, recording a record 15.4%

decline in the second quarter of 2008 versus the second quarter of 2007. This is larger than the decline of

14.2% reported in the first quarter of the year. The 10-City and 20-City Composites also set new records,

with annual declines of 17.0% and 15.9%, respectively. However, it should be noted that the

acceleration in decline was only moderate in June. The May numbers reported annual declines of 16.9%

and 15.8%, respectively.

Case-Shiller® and Case-Shiller Indexes® are registered trademarks of Fiserv, Inc.

1

“While there is no national turnaround in residential real estate prices, it is possible that we are seeing

some regions struggling to come back, which has resulted in some moderation in price declines at the

national level” says David M. Blitzer, Chairman of the Index Committee at Standard & Poor’s.

“Depending on where you focus on the details of the report, you can see some different stories on where

home prices are headed. Record year-over-year declines were reported in both the 10-City and 20-City

Composites in June; however, they are very close to the values reported for May. The rate of home price

decline may be slowing. For the month, the 10-City Composite was down 0.6% and the 20-City

Composite was down 0.5%. While still falling, these are far less than the 2-2.5% monthly drops seen

earlier in 2008. In June, nine of the 20 cities were up month-to-month compared with seven in May.

Nevertheless, not one market is showing a positive return over the past 12 months and seven of the

metro areas are reporting declines in excess of 20.0%.”

At the national level, the housing market peaked around June/July of 2006. As of June 2008, two years

later, the 10-City Composite has fallen by 20.3% and the 20-City Composite is down 18.8%. Las Vegas

remains the weakest market, reporting an annual decline of 28.6%, followed by Miami and Phoenix at

-28.3% and -27.9%, respectively. Phoenix was the worst performer for the June to May period, returning

-2.6%. The markets that were the high-flyers during the recent real estate boom continue to be the ones

that are leading the current decline. On the plus side, Denver and Boston were the best performing

markets for the month, returning +1.5% and +1.2%, respectively. Both these markets have had three

consecutive months of positive returns. They are outdone by Charlotte and Dallas, however, which have

recorded four consecutive months of positive returns. Although there are some improving regional

numbers, the picture of the overall residential real estate market remains weak.

The table below summarizes the results for June 2008. The S&P/Case-Shiller Home Price Indices are

revised for the 24 prior months, based on the receipt of additional source data. More than 20 years of

history for these data series is available, and can be accessed in full by going to

www.homeprice.standardandpoors.com

2008 Q2 2008 Q2/2008 Q1 2008 Q1/2007 Q4

Level Change (%) Change (%) 1-Year Change (%)

U.S. National Index 155.32 -2.3% -6.7% -15.4%

June 2008 June/May May/April

Metropolitan Area Level Change (%) Change (%) 1-Year Change (%)

Atlanta 125.08 0.6% 0.5% -8.1%

Boston 162.32 1.2% 1.0% -5.2%

Charlotte 133.64 0.4% 1.0% -1.0%

Chicago 150.25 0.2% -0.3% -9.5%

Cleveland 109.67 0.7% -0.6% -7.3%

Dallas 122.38 0.7% 1.0% -3.2%

Denver 131.64 1.5% 1.0% -4.7%

Detroit 92.68 -0.1% -1.1% -16.3%

Las Vegas 158.51 -1.6% -2.9% -28.6%

Los Angeles 195.74 -1.4% -1.9% -25.3%

Miami 189.87 -1.7% -3.6% -28.3%

Minneapolis 141.50 1.0% 0.6% -13.9%

New York 194.22 0.2% -0.4% -7.3%

Phoenix 153.19 -2.6% -2.5% -27.9%

Portland 175.03 -0.3% 0.4% -5.8%

San Diego 175.37 -1.5% -1.4% -24.2%

San Francisco 159.83 -1.8% -1.2% -23.7%

Seattle 178.28 -0.2% -0.5% -7.1%

Tampa 175.11 -1.1% -0.8% -20.1%

Washington 197.39 -0.9% -1.0% -15.7%

Composite-10 180.38 -0.6% -1.0% -17.0%

Composite-20 167.69 -0.5% -0.9% -15.9%

Source: Standard & Poor’s and Fiserv

Data through June 2008

The S&P/Case-Shiller Home Price Indices are published on the last Tuesday of each month at 9:00 am

ET. They are constructed to accurately track the price path of typical single-family homes located in each

metropolitan area provided. Each index combines matched price pairs for thousands of individual houses

from the available universe of arms-length sales data. The S&P/Case-Shiller National U.S. Home Price

Index tracks the value of single-family housing within the United States. The index is a composite of

single-family home price indices for the nine U.S. Census divisions and is calculated quarterly. The

S&P/Case-Shiller Composite of 10 Home Price Index is a value-weighted average of the 10 original

metro area indices. The S&P/Case-Shiller Composite of 20 Home Price Index is a value-weighted

average of the 20 metro area indices. The indices have a base value of 100 in January 2000; thus, for

example, a current index value of 150 translates to a 50% appreciation rate since January 2000 for a

typical home located within the subject market.

These indices are generated and published under agreements between Standard & Poor’s and Fiserv, Inc.

The S&P/Case-Shiller Home Price Indices are produced by Fiserv, Inc. In addition to the S&P/Case-

Shiller Home Price Indices, Fiserv also offers home price index sets covering thousands of zip codes,

counties, metro areas, and state markets. The indices, published by Standard & Poor’s, represent just a

small subset of the broader data available through Fiserv.

Source: Standard and Poors