http://finance.yahoo.com/news/home-prices-jump-12-home-144000971.html
The housing recovery continues to pick up steam, as home prices jumped in April, and new home sales hit a five year high in May.
But a recent increase in mortgage rates could soon put the brakes on housing.
The S&P/Case-Shiller home price index was up 12.1% in April, compared to a year ago, in the 20 top real estate markets across the nation. That was the biggest annual jump in prices in seven years. Prices climbed 2.5% from March, posting the biggest one-month rise in the 12-year history of the index.
According to a separate government report: new homes sold in May is the best reading since July 2008. The pace of sales was up 2.1% from April, and up 29% from a year ago.
The median price of a new home sold in May was $263,900, down 3.1% from April. Even with the monthly decline, new home prices were up 10.3% from a year earlier.
A drop in foreclosures, coupled with a tight supply of homes for sale and mortgage rates that hit record lows, have fueled the rebound in housing over the last 11 months.
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