The Case Shiller Index was released this morning showing further declines in the Composite 20 by 1.2%. Minneapolis posted a 2.8% decline from September to October. Minneapolis has posted a -8.4% annual decline only to beaten by Las Vegas posting a -8.5% decline according to S&P Case Shiller Index (not seasonally adjusted – composite 20).
Below is a chart showing the Minneapolis Index vs the Composite 20. I am going to stick with my theory that we (Minneapolis) are actually correcting quicker which should put us in a healthier market condition sooner.
You can see that we did not hit the high peaks as the Composite 20 but we are experiencing further declines. The alternative theories on this would include; we are losing households/population in the twin cities, we have high unemployment in the twin cities, or we had a lot more mortgage fraud that the nation. There are elements of truth in all those theories, and that is why I have a difficult time drawing a conclusion.
- Case-Shiller Home Price Index Falls 3.4%, Slightly Worse Than Expected (XHB) (businessinsider.com)