WASHINGTON — Home prices rose in May for the second straight month in most major U.S. cities, including metro Denver, and are stabilizing after years of declines.
But analysts say the trend in prices hardly signals a rebound for the troubled housing market. A flurry of spring buyers is helping to boost sales. At the same time, millions of foreclosures are in limbo, awaiting the results of a government investigation into improper practices by mortgage lenders. Once that probe is complete, banks will resume seizing homes and prices likely will fall again.
The Standard & Poor’s/Case-Shiller Home Price Indices released Tuesday showed that prices rose in May in 16 of the 20 cities tracked.
The index for metro Denver rose 1.4 percent in May from April, following a 1.5 increase in April from March. On a year-over-year basis, the index is down 3.3 percent. The Associated Press
