State property values dip for just second time in 50 years

SOURCE: Milwaukee Journal-Sentinel
Madison — Wisconsin property values statewide dipped by 0.5% last year - only the second time in 50 years that overall property values have declined, according to a report Friday from the state Department of Revenue.

The last time was in 1986, when property values declined nearly 2%.

The City of Milwaukee posted the biggest drop in property values of all the state's major cities, declining nearly 3.1%. Across Milwaukee County, property values fell about 2%. Pierce County, where property values lost 5.9%, saw the biggest decline, followed by St. Croix County, where values lost 5.4%, and Polk County, where they fell 4.1%.

It's also the second year in a row that the state's housing market has been stagnant. Existing home values in Wisconsin fell by 0.9% in 2008. Last year's report showed that existing home values statewide gained just 1%.

Nationally, home values slid an average of 7.1% in 2008, showing that Wisconsin's market is stable, the department said.

"While we still face uncertainty about the economy, the stability of property values positions the state well as we work toward economic recovery," state Revenue Secretary Roger Ervin said in a statement.

New construction contributed to a 3% increase in commercial property values.