This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Home Prices Rose Again in May, Dallas, Denver Surpass Previous Peaks

NEW YORK ( TheStreet) -- Home prices continued to rise in May, with the 10-city and 20-city composite indices posting their highest year-over-year gains since March 2006.

The 20-City Composite Index rose 2.4% from April and 12.2% year-over-year. On a seasonally-adjusted basis, the index rose 1%.

Economists polled by Bloomberg expected the 20-city Composite Index to rise 1.3% in May on a seasonally adjusted basis. On a non-seasonally adjusted basis, home prices were projected to rise 2% in May on a monthly basis, and 12.3% year-over-year.

The Case-Shiller Index is based on a three-month moving average, so this index captures home price action for March, April and May.

The impact of rising interest rates in May on the index is therefore likely to be somewhat muted.

According to the report, home prices for all 20 cities tracked by the index increased year-over-year and month-over-month on a seasonally- adjusted basis.

"Home prices continue to strengthen," says David M. Blitzer, Chairman of the Index Committee at S&P Dow Jones Indices. "Two cities set new highs, surpassing their pre-crisis levels and five cities - Atlanta, Chicago, San Diego, San Francisco and Seattle - posted monthly gains of over three percent, also a first time event."

The Southwest and the West showed the strongest gains, with San Francisco home prices up 24.5% year-over-year, followed by Las Vegas (Up 23.3%) and Phoenix, up 20.6%. New York, Cleveland and Washington D.C. lagged.

As of May 2013, average home prices across the United States are back to their spring 2004 levels. The recovery from the March 2012 lows is 15.9% and 16.5% for the 10-City and 20-City Composites. But measured from the June/July 2006 peak, the indices are still 24 to 25% lower.

On Monday, LPS said home prices gained 1.3% in May from April. The LPS Home Price Index is based on closings in April alone and is not seasonally adjusted. It also represents the prices of non-distressed sales by taking into account the discounts of foreclosures and short sales.

-- Written by Shanthi Bharatwaj in New York.

>Contact by Email.

Disclosure: TheStreet's editorial policy prohibits staff editors and reporters from holding positions in any individual stocks.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
IYR $77.20 0.00%
XHB $33.79 0.00%
AAPL $95.03 0.21%
FB $116.73 0.00%
GOOG $691.02 0.00%


Chart of I:DJI
DOW 17,830.76 -210.79 -1.17%
S&P 500 2,075.81 -19.34 -0.92%
NASDAQ 4,805.2910 -57.85 -1.19%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs