Home Prices Rise in Nearly All Major U.S. Cities

By CHRISTOPHER S. RUGABER

WASHINGTON -- Home prices rose in nearly all major U.S. cities in April from March, further evidence that the housing market is slowly improving even while the job market slumps.

The Standard & Poor's/Case-Shiller home price index shows increases in 19 of the 20 cities tracked. That's the second straight month that prices have risen in a majority of U.S. cities.

And a measure of national prices rose 1.3% in April from March, the first increase in seven months.

San Francisco, Washington and Phoenix posted the biggest increases. Prices fell 3.6% in Detroit, the only city to record a drop.

The month-to-month prices aren't adjusted for seasonal factors. Still, prices in half of the cities are up over the past 12 months.

Prices are increasing as other parts of the housing market are strengthening. Sales of new and previously occupied homes are up over the past year, in part because mortgage rates have plunged to the lowest levels on record. Builders are more confident and are starting to build more homes.

The S&P/Case-Shiller monthly index covers roughly half of U.S. homes. It measures prices compared with those in January 2000 and creates a three-month moving average. The April figures are the latest available.

Its measure of home prices for all 20 cities fell 1.9% over the 12 months ending in April. That suggests weaker markets continue to weigh on national prices.

But other measures show home prices have risen nationally over the past year. CoreLogic, a private firm, calculates that prices rose 1.1% nationally in the 12 months ending in May. Federal Housing Finance Agency, which oversees mortgage giants Fannie Mae and Freddie Mac, says prices have increased 3% in the 12 months ending in April.

Recent data indicate that the housing market has started to recover, more than five years after the bubble burst.

Greater interest from buyers is boosting builders' confidence. In May, builders requested the highest number of permits to build homes and apartments in three and a half years.

• <p> The most expensive city in America to live in is also the most expensive place to raise a child. In fact, according to Bundle, bringing up a kid in the city costs 90% more than the national average.<br /> <br /> Diapers and onesies are more expensive in New York than anywhere else, but the standard necessities aren't the only thing driving up costs in the Big Apple. The city also has a stunningly pricey childcare and education industry. For example, <a _fcksavedurl="http://www.nytimes.com/2012/01/29/nyregion/scraping-the-40000-ceiling-at-new-york-city-private-schools.html?pagewanted=all" href="http://www.nytimes.com/2012/01/29/nyregion/scraping-the-40000-ceiling-at-new-york-city-private-schools.html?pagewanted=all" target="_blank">the median tuition</a> at New York's top 41 top private schools is almost $37,000 a year, and several charge more than Harvard University.<br /> <br /> (As a side note, Bundle ranked Manhattan specifically first, and named Brooklyn as the second-most expensive city to raise a child. That's a distinction we rejected. Since 1898, Brooklyn has been part of New York City, not an independent city. Don't tell the Brooklynites.)</p>
• <p> Given its position as the <a _fcksavedurl="http://www.businessinsider.com/most-expensive-cities-in-america-2011-7#7-miami-6" href="http://www.businessinsider.com/most-expensive-cities-in-america-2011-7#7-miami-6" target="_blank">seventh most expensive</a> U.S. city, it's a bit of a shock to see Miami coming in second when it comes to raising kids. According to Bundle, however, bringing up a kid in the Florida city costs 58% more than the national average. Even worse, Miami parents apparently aren't getting what they pay for: According to a 2009 <a _fcksavedurl="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family3.php" href="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family3.php" target="_blank"><em>Men's Health</em></a> study, out of 100 cities, Miami ranked 99th as a good place to raise a family, landing it a hair above worst-choice Detroit.</p>
• <p> <br /> Apparently baby showshoes are expensive: Bundle notes that&nbsp; raising a child runs over $330,000 in the City of Lakes, a price tag that is 46% higher than average. On the bright side, it appears to be a much better deal than Miami when it comes to quality of life: According to <a _fcksavedurl="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family3.php" href="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family3.php"><em>Men's Health</em></a>, Minneapolis is the 18th best city to raise a family.</p>
• <p> Given that it is often ranked as one of America's most liveable cities, it shouldn't be that much of a surprise that Tulsa attracts many parents -- and that it is one of the most expensive places to raise a child. According to Bundle, child-rearing in Tulsa costs 35% higher than the national average.<br /> <br /> But that <a _fcksavedurl="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family3.php" href="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family3.php" target="_blank"><em>Men's Health</em></a> research gave Tulsa a fairly dismal ranking -- 60th place out of 100 -- when it comes to raising kids, so buyer beware.</p>
• <p> It's only the 11th most expensive city in America, but it probably isn't surprising that Dallas comes in higher as an expensive place to raise a kid. As anyone who grew up watching the Ewings might surmise, Dallasites have a reputation for living large. Unfortunately, according to <a _fcksavedurl="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family3.php" href="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family3.php"><em>Men's Health</em></a>, high prices don't necessarily translate into a high quality of life: It ranks Dallas as No. 80 out of the 100 best cities in which to raise a child.<br /> </p>
• <p> Atlanta is also one of the most expensive cities in the U.S. -- and, not surprisingly, one of the most expensive places to raise a child. But at least with a No. 42 ranking on the <a _fcksavedurl="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family3.php" href="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family3.php" target="_blank"><em>Men's Health</em></a>'s list, it may be a reasonably good deal.</p>
• <p> The second most expensive city in the U.S. is only the seventh most expensive place to raise a child. Even so, according to <a _fcksavedurl="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family.php" href="http://dad.menshealth.com/parents/The-best-and-worst-places-to-raise-a-family.php" target="_blank"><em>Men's Health</em></a>, it's not that great a deal -- the magazine ranked L.A. 68th when it comes to the best places to raise a family.</p>
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The supply of homes for sale remains extremely low, which has helped stabilized prices. The inventory of previously occupied homes is back down to levels last seen in 2006. And there were 145,000 new homes for sale in May. That's only slightly higher than in April, which was the lowest supply on records dating back to 1963.

Despite the modest gains in housing, the broader economy has weakened in recent months. Employers have added an average of only 73,000 jobs a month in April and May. That's much lower than the average of 226,000 added in the first three months of this year. Some economists worry that the sluggish job market could weigh on home sales just as the housing market is showing signs of recovery.