Home prices increase in half of the country

The Standard and Poor's/Case-Shiller index found prices increased in August compared to July in 10 of the 20 major U.S. cities, marking the fifth straight month of gains for at least half the cities tracked. The most significant price gains were reported in Washington, D.C., Chicago and Detroit, while declines persisted in Atlanta and Los Angeles.

Cities in the Midwest, particularly Chicago, Detroit and Minneapolis, have shown continued strength in home prices since May. In Detroit, home prices have increased 2.7 percent since August 2010, making it the only other city besides Washington to report year-over-year gains for that time period. Detroit experienced drastic declines in home prices when the housing market crashed, pushing prices down to levels not seen since 1995.

In Minneapolis and Chicago, fewer homes are entering the market and fewer foreclosures are happening, which is increasing demand and raising prices. Minneapolis experienced its largest decline in inventory in the past seven years in September, indicating sales figures will continue to increase in the Twin Cities.

Other local housing markets are showing signs of recovery as well. In an interview with MSNBC, Ines Garcia, an agent for EWM Realtors in Weston, Florida, said despite the state's median home value dropping 52.3 percent from 2006 levels, Weston has experienced a 15.1 percent increase in median home value since February 2009. According to Garcia, the high-income city has maintained its polished, pristine appearance throughout the housing crisis, which has helped attract consumers.

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