According to the Standard & Poor's/Case-Shiller home price index, home prices showed the smallest decline in almost three years, in an annual comparison.  The index was released on Tuesday, March 30, 1020, showing a reading of 146.32, although this shows a rise of nearly 4% since May of last year, the numbers are still down nearly 30% from May of 2006.

Many economists believe that once the government incentives, that have helped aid in keeping the market afloat expire, that home prices will begin to drop once again.  Today was the last day of the government program that has been pumping $1.25 billion into mortgage backed securities, in an effort to keep mortgage rates around 5% and the Homebuyers Tax Credit will expire at the end of next month. The market will not be tested again until the second half of the year, long after these two government incentives expire.