By Peter Schroeder - 08/24/11 03:46 PM EDT
Prices were down in 31 states, with the Atlanta area being hit particularly hard. Prices in that region of Georgia are now down more than 14 percent in the last year.
In contrast, prices in Pittsburgh grew at the fastest rate, climbing by 3.7 percent over the same time frame.
The quarterly fall came despite the fact that home prices rose in the month of July by nearly a percentage point, FHFA said.