The Standard & Poor's/Case-Shiller home price index for June showed increased home prices in 19 of 20 cities studied.
A new Federal Housing Finance Agency study of the country's 32 largest cities showed numbers that diverge greatly, according to a report from the agency. Metro areas like Kansas City, Missouri, Indianapolis, Detroit and Milwaukee saw increases of up to 54.4 percent while other areas like San Antonio and Norfolk, Virginia, saw decreases of up to 31 percent.
Experts warn that if the economy doesn't improve, home prices could plummet. "There's no theoretical floor for prices," Mark Zandi, chief economist at Moody's Analytics, told The Associated Press. "If the economy worsens, housing will get into a vicious cycle of falling prices and foreclosures. When prices fall, confidence wanes."
The pace of sales for previously-occupied homes is behind last year's number of 4.91 million sold, which was the fewest since 1997, the AP reported. Good years in a healthy economy have a typical pace of 6 million home purchases.
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