New St. Thomas housing index breaks out median prices on traditional sales
Monday, October 24, 2011
The University of St. Thomas' new housing price index shows a price decline of nearly 10 percent for traditional sales in the Twin Cities since the peak period of early 2005 - far less than other reports.
The widely watched S&P/Case-Shiller U.S. Home Price Index, for example, has reported a 28 percent decline over that time period in the metro.
One key difference: St. Thomas breaks out the median price of traditional sales - those that do not involve foreclosures or short sales. Case-Shiller factors in foreclosures in its analysis of price increases and declines in 20 markets nationally.
"For most of the homeowners, they really fall into that traditional category," said Herb Tousley, director of real estate programs at St. Thomas. "Even if they're not selling their home, they're concerned about the equity of their home. We wanted to look at that market because that's really where most people are."
Originally published: 10/24/2011, Pioneer Press