Home prices suffered the sharpest annual rate drop on record in October. Signalling that the crisis in housing is not over and would still go a long way.

In the report released Tuesday, the Standard & Poor's/Case-Shiller 20-city housing index dropped by a record 18 percent from October last year. This is the largest annual drop since the index was started in in 2000. The 10-city index declined 19.1 percent, the biggest fall in its 21-year history.

It is the 22^nd straight month that both indices have recorded year-over-year drops. Prices are at levels not seen since March 2004.

Prices in the 20-city index have dropped more than 23.4 percent since its peak in July 2006. The 10-city index has plummeted 25 percent from its peak in June 2006.

With consumer confidence htting an all-time low in December, present situation index close to 1990 to 1991 recession levels the housing market will continue to deteriorate. Home buyers are expected to wait and see and delay their buy.

None of the 20 cities in the Case-Shiller index reported annual price increase in October for the seventh consecutive month.

Three metro areas registered annual declines of more than 30 percent. Phoenix home values dropped almost 33 percent, while Las Vegas prices plunged nearly 32 percent. San Francisco prices declined 31 percent year-over-year in October.

Atlanta, Seattle and Portland, Ore., all have seen their first double-digit annual declines in October.

October was one of the worst month in history for U.S. stock markets. During this month, President Bush signed a $700 billion bailout plan to help quell the global financial panic. With that, the Federal Reserve has cut interest rates to drive down mortgage rates to historic lows and encourage buyung.