According to the Standard & Poor’s/Case-Shiller Home Price Index released on Tuesday, U.S. home prices have fallen to 2002 levels and are expected to drop further.
Millions of U.S. homes are in foreclosure or headed that way, which will depress prices further. Home prices are expected to fall at least 3% more this year.
As home prices fall and consumer confidence waivers, more people are opting to rent instead of buy.
The NBC Nightly News reports further on the growing popularity of renting versus buying.