Three of the five condo markets followed by the S&P/Case-Shiller home prices indices recorded new cycle lows with the release of March 2011 data. Boston, Chicago and Los Angeles fell to new lows, with the markets now down 18.1%, 36.3% and 38.5% versus their respective peaks.
Chicago has been the hardest hit in recent months. This market’s condo index indicates that prices fell by 4.5% in the month of March, after having fallen 3.1% and 5.4% in February and January, respectively. This puts the market down 12.5% in the first quarter of 2011 alone. With a March 2011 level of 102.57, condo prices are at their lowest level in 11 years.
- S&P/Case-Shiller condo price indices for five major MSAs. Sources: S&P Indices and FiServ
Looking at some summary statistics below, it appears that the New York and San Francisco condo markets might be riding out this crisis a bit better than their single-family home markets. Both cities saw condo prices rise in March over February – New York up 1.0% and San Francisco up 2.6% – and are posting annual rates of decline that are significantly smaller than their housing counterparts.