Home prices rose 1.3% in May, the second consecutive monthly increase, according to the just released Standard & Poor's/Case-Shiller house price index.
Case reported that 19 of the 20 cities in the index recorded price increases. Only Las Vegas posted a decline in prices on a sequential basis. The HPI has risen 4.6% since May of 2009.
"While May's report on its own looks somewhat positive, a broader look at home price levels over the past year still does not indicate that the housing market is in any form of sustained recovery," said David M. Blitzer, chairman of the S&P index committee.
The non-adjusted 20-city HPI shows that prices are up less than 6% since the index bottomed in April 2009 — despite the homebuyer tax credit which expired this spring.
"It still looks possible that the housing market might bounce along the bottom for the foreseeable future, before showing any real improvement that will filter through to the rest of the economy," Blitzer said.
