There are many factors at work here but the end result is increasing home prices! Stefan
By TESS STYNES
U.S. home prices rose in August, according to Standard & Poor’s Case-Shiller indexes, offering another sign that the housing market is continuing to heal.
The Case-Shiller index of 10 major metropolitan areas and the 20-city index rose 0.9% in August from July. On a seasonally adjusted basis, the improvements were 0.4% and 0.5%, respectively. Only one area, Seattle, saw lower prices in the month, down 0.1%.
On a year-to-year basis, the 10-city index and 20-city index were up 1.3% and 2%, respectively. Only three cities saw declines: Atlanta, down 6.1%; New York, off 2.3%; and Chicago, down 1.6%. Phoenix, one of the hardest-hit markets during the housing crisis, posted its fourth-straight month of double-digit growth, up nearly 19%.
“The sustained good news in home prices over the past five months makes us optimistic for continued recovery in the housing market,” said David Blitzer, chairman of S&P’s index committee. “Even as we end the seasonally strong home-buying period, the statistics are positive.”
Demand for homes has continued to show some signs of stabilization as record low mortgage rates and improved job growth have pulled some buyers back to the market.