While the gains were modest, all three major S&P Case-Shiller Home Price Indices ended the second quarter of 2012 with positive annual growth rates for the first time since the summer of 2010.  The national composite index was up 1.2 percent in the second quarter compared to the second quarter of 2011 and was 6.9 percent higher than in the first quarter of this year.

The two indices that make up the national composite - the 10-City and 20-City were up 0.1 percent and 0.5 percent respectively on an annual basis and 2.2 percent and 2.3 percent from May to June.  This was the second consecutive month that both the 10-City and 20-City indices and all 20 of the cities posted positive monthly gains.  Eighteen of the 20 metropolitan statistical areas (MSAs) also showed larger month over month increases in June than they had in May; only in Charlotte and Dallas did the rate of increase slow.  Detroit recorded the highest monthly increase at 6.0 percent.

Thirteen cities had positive annual rates.  Six, Atlanta, Chicago, Las Vegas, Los Angeles, New York, and San Diego still had negative annual rates of change with Atlanta in double digits (-12.1 percent).  The annual rate in Boston was unchanged from one year earlier.  Phoenix was the most improved, up 13.9 percent since June 2011.

David Ml Blizer, Chairman of the Index Committee at S&P Dow Jones Indices said, "The regions showed positive results for June.  All 20 of the cities saw average home prices rise in June over May and all were by at least 1.0 percent."  Detroit was up the most, +6.0 percent, and Charlotte the least, +1.0 percent.  The Composites showed the same increases as last month - the 10-City rose by 2.2 percent in June and the 20-City by 2.3 percent.  We are aware that we are in the middle of a seasonal buying period, but the combined positive news coming from both monthly and annual rates of change in home prices bode well for the housing market."

As of June average home prices for both the 10- and 20-City Composites are back to their summer 2003 levels.  Measured from their June/July 2006 peaks, both Composites are down approximately 31 percent and both have risen about 6 percent from their recent troughs in March 2012.  Atlanta, Detroit, and Las Vegas continued to have average home prices below their January 2000 levels, the benchmark for the Case-Shiller indices.