US house price slump continues

American house prices continued to falter in December, dropping 0.3 per cent on the previous month, the Federal Housing Finance Agency said yesterday. In the final three months of the year, prices were 0.8 per cent down, compared to the three months to September. “Lingering unemployment and elevated inventories of for-sale homes contributed to the ongoing decline of house prices,” said Edward DeMarco, acting director of the Federal Housing Finance Agency.