USA: real estate becomes much cheaper
In 20 largest cities USA prices for houses have fallen to record size. The S&P/Case-Shiller index, which shows the state in the real estate market in the American mega cities, has fallen in January, 2008 to 10,7 % in comparison with the similar period of the last year.
In experts’ opinion, it shows that hypothec crisis has gone deep into the USA.
In December, 2007, S&P/Case-Shiller has fallen to 9 %. The index, which is being monthly calculated, has reached the maximum in the second quarter 2006 and then it has started to decrease.
During the last year the quantity of transactions on sale of houses-new buildings in the USA has reduced on 26 %. It is the record-breaking low parameter since 1963. Concerning the secondary real estate market, in September, 2007, the sale here has fallen on 19 % in comparison with September, 2006 - up to a minimum established in 1999.
In savings and loan associations experts’ opinion, the prices for real estate in both segments will continue to decrease - on 15 % on primary, and on 13 % on secondary the market.
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