The Most Splendid Housing Bubbles in America: Price Drops Spread across US. Steepest Monthly Plunges since Housing Bust 1 in San Francisco -3.5%, Seattle -3.1%, San Diego -2.5% | Wolf Street

A month ago, the S&P CoreLogic Case-Shiller Home Price Index, which lags housing market reality on the ground by 4-6 months, started picking up the first month-to-month price declines, all of them in the West: the metros of Seattle, San Francisco, San Diego, Los Angeles, Denver, and Portland.

Those price declines have now sharply steepened, according to today’s Case-Shiller Home Price Index, and price declines are now spreading across the US, including Boston, Phoenix, Dallas, and Washington DC. And what a huge shocker, even in San Diego, the #1 Most Splendid Housing Bubble in America, prices dropped by 2.5%, the metro’s largest month-to-month drop since Housing Bust 1.

That the housing market is seriously weakening in sales and prices across the US has been apparent in other data that is more immediate but easily skewed by changes in the mix of what was sold. The housing market in California is among the trail blazers, with dismal sales volume and sharply dropping prices. In the big Bay Area counties, including San Francisco, the median prices are down below where they’d been a year ago, and even in Southern California they’re seriously sagging.

The Most Splendid Housing Bubbles in America: Price Drops Spread across US. Steepest Monthly Plunges since Housing Bust 1 in San Francisco -3.5%, Seattle -3.1%, San Diego -2.5% | Wolf Street