American prices flatten out at 29% below peak

U.S. house prices flattened out in the third quarter of 2011 versus Q2 and fell 4.4% year-on-year, according to Zillow’s latest quarterly market report.

Across the States, home values fell 0.2 percent in Q£ versus Q2, and crashed 4.4% on the third-quarter of 2010, to an average of $171,500.

Average values are now down 29% from their June 2006 peak.

"While we still have a ways to go in terms of home-value depreciation, the pace at which home values are falling has declined considerably during the course of this year. This slower pace signals that a stabilisation is on the horizon," says the report, predicting a further 3% to 5% drop before bottoming in 2012.

Source: OPP.org.uk