Home Prices up 9.3% in 12 Months

Julie Schmit, USA TODAY U.S. home prices in the USA's 20 biggest cities rose 9.3% in the 12 months ending in February. It was the biggest annual growth rates in almost seven years, a closely watched housing index out Tuesday said. The home price increases were solid across all 20 cities measured by the Standard & Poor's/Case-Shiller index. The 9.3% gain was up from an 8.1% year-over-year gain in January. From January, prices rose 0.3% in February for the 20-city composite of the USA's largest metropolitan housing markets. In eight of the 20 cities, prices dipped slightly from January but all posted increases when compared to their year-ago levels. Price increases are being driven by increased demand, a tightening inventory of homes for sale and fewer foreclosed properties, which tend to sell at a discount to others. "Housing continues to be one of the brighter spots in the economy," said David Blitzer, chairman of the index committee.