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Washington, D.C., United States (AHN) – U.S. housing prices continued to slump in January posting a 0.90 percent drop from December, according to data released Wednesday by the S&P/Case-Shiller (CSI) home price indices.

The continued slide in house prices could indicate that house prices are headed into a double dip fall.

In addition, year-over-year comparisons of prices for the nation’s 10 largest cities showed a drop from January 2010 of 2.04 percent and a 3.06 percent drop in the top 20 metropolitan areas for the same period through January 2011.

Don’t look for an upturn in prices anytime soon, says Robert Shiller, the co-founder of the index.

Part of the problem of weak prices is weak demand with some investors unwilling to buy now if prices are going to fall further.

However, another part is the inability of individuals to buy homes because of a lack of a job, low pay or their credit was ruined during the recession.

Further compounding the problem of weak prices and sales is the specter of more foreclosed homes flooding what is already a buyer’s market with too few buyers.

Shiller noted that there are about 2.5 million homes on the verge of foreclosure.

That number could rise if people who owe more on their mortgage than their home is worth find a job in another area and decide to abandon a home they can’t sell.

Last week U.S. Commerce Department officials announced that sales of new homes fell 16.9 percent in February compared with January, which was down by 28 percent from sales of new homes in February 2010.

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