New Index Says Home Prices Rising

A new home price index published for the first time this summer by Integrated Asset Services showed that home prices rose 1.1 percent on a national level in June compared to May, although prices dropped 11.5 percent over the previous year.

The IAS360 House Price Index indicates that Midwest prices increased 4.7 percent in June, resulting in a 0.2 percent decline compared with the previous year. Prices in the West fell 0.5 percent in June and were down 16.9 percent compared to a year ago.

The index is not adjusted for seasonal forces, such as the typically stronger spring and summer selling season and appears more volatile than other indexes, observers say.

Denver-based IAS specializes in residential real estate valuations and the disposition of bank-owned properties.

Source: Reuters News (08/12/2008)