Brookfield-based Fiserv Inc.’s Case-Shiller Index indicates that home prices in the metro Milwaukee area will flatline this year, predicting a 0.0 percent increase from the third quarter of 2011 to the third quarter of 2012.
That would be significant, because the area’s home prices fell 11.9 percent from the third quarter of 2008 to the third quarter of 2011, including a 3.1 percent decline from the third quarter of 2010 to the third quarter of 2011.
Nationally, the Case-Shiller Index predicts prices will fall 2.7 percent from the third quarter of 2011 to the third quarter of 2012, after falling 13.4 percent from the third quarter of 2008 to the third quarter of 2011.
Then the index predicts the national housing market will have a 3.8 percent price increase from the third quarter of 2012 to the third quarter of 2013.
Current U.S. home prices are now 33 percent below this 2006 peak.
Over the past year home prices fell in 337 of the 384 metro areas tracked by Fiserv Case-Shiller.
“While prices continued to fall in most markets, sales activity picked up at the end of 2011, setting the foundation for price stabilization in 2012,” said David Stiff, chief economist at Fiserv. “We stand by our projection that average U.S. home prices will move sideways in 2012.”
