Home prices across the U.S. posted sizable increases in December, indicating the housing recovery gained momentum at the end of last year.
The widely followed Standard & Poor’s/Case-Shiller index was up 0.2% from the prior month and 6.8% year-over-year. A broader quarterly index also released Tuesday by S&P/Case-Shiller showed national home prices up 7.3% on the year.
“Home prices ended 2012 with solid gains,” David M. Blitzer, chairman of S&P’s index committee, said in a statement. “Housing and residential construction led the economy in the 2012 fourth quarter.”
Nineteen out of the 20 metro areas covered by the index posted year-over-year gains, with only New York falling. California cities also posted strong increases. San Diego rose 9.2%, Los Angeles was up 10.2% and San Francisco gained 14.4%.