U.S. home prices in the country's 20 largest metropolitan areas rose 9.3 percent over the last 12 months ending in February, the most substantial year-over-year growth rate since May 2006, according to the S&P/Case-Shiller Home Price Index,
The seasonally adjusted 20-city home price index rose 1.2 percent month-to-month in February, the 13th consecutive gain. In January, the index rose 1 percent, according to the report released Tuesday.
"Despite some recent mixed economic reports for March, housing continues to be one of the brighter spots in the economy," David M. Blitzer, chairman of the index committee at S&P Dow Jones Indices, said in a statement.
"The 2013 first quarter GDP report shows that residential investment accelerated from the 2012 fourth quarter and made a positive contribution to growth. One open question is the mix of single-family [homes] and apartments; housing starts data show a larger than usual share is apartments," he added.
In some of the hardest-hit markets, the gains have been particularly heady. Home prices rose 23% from one year ago in Phoenix and 18.9% in San Francisco.
Nationally, the median home price in March stood at $184,300, well below the peak of $230,400 in 2006 but up from $154,600 in January 2012.
"For the 65 percent of households that own their home, rising prices boost wealth," said Jim O'Sullivan, chief U.S. economist with High Frequency Economics.
On a year-over-year basis, the index increased 9.3 percent, up from 8.1 percent in January, the strongest since prices began to slow in 2006, O'Sullivan said.