Record drop of 11.4% in U.S home prices

Home prices in many cities continued to go down by record levels as sellers cut their asking bids and rising foreclosures took their toll.U.S. home prices fell 11.4 percent in January.It is the steepest drop since data for the indicator was first collected in 1987.

Worst-hit were Las Vegas and Miami, both reporting 19.3 percent drops.Those cities and 14 others, including Phoenix, San Diego, and Detroit, posted record lows.Charlotte, N.C., squeaked by as the only gainer, with a 1.8 percent rise in January.

“Home prices continue to fall, decelerate and reach record lows across the nation,” said David Blitzer, index committee chairman at S&P.

The index is considered a telling measure of home prices because it examines price changes of the same property over time, instead of calculating a median price of homes sold during the month.

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