Earlier this year, numbers from the Case-Shiller index were starting to look a little better. At one point, 9 of the 20 markets they tracked were showing price appreciations. However, the most recent data revealed that housing prices may be double dipping. Every single housing market they track lost value in the last month.
Cities like Dallas, Charlotte, and Cleveland, which had had positive appreciation rates for several months, showed a surprising deterioration.
I have a few guesses why this might be happening: Weaker economy, deflation, and seasonal variation (fewer purchases after school starts). However, I can't point to anything definitively just yet.
Mia Culpa: I have been suggesting for several months on this blog and a few others that housing prices were going to be effectively flat by this point. I was wrong. Not sure why though, until I figure out what has changed.