Today the S&P Case-Shiller index announced that home prices in 20 major markets posted a 9.3% rise during the last 12 months. The increasing pace of home prices continued through February revealing the biggest 12-month gain in the index since May 2006, which is also the biggest gain since the height of the housing bubble.
“Despite some recent mixed economic reports for March, housing continues to be one of the brighter spots in the economy,” said chairman of the index committee at S&P Dow Jones Indices, David Blitzer.
Prices were in a constant decline almost every month over a five-year period through May 2012. Since then, home prices have risen each month courtesy of a number of factors such as new record-low mortgage rates and a decrease in foreclosures and unemployment rates. These positive changes have increased the sales of both new homes and existing homes.
As reported by the Case-Shiller index, every market posted an increase for the second straight month. Phoenix experienced the biggest improvement, which is a market that was also hit hard after the housing bubble collapsed. Phoenix experienced a 23% increase from the previous year. Many markets also experienced increases of more than 10% including San Francisco, Las Vegas, Atlanta, Detroit, Los Angeles, Minneapolis, Miami, San Diego and Tampa.
Source: CNN Money