U.S. home prices gaining, index shows

South Florida home prices increased in April for a 16th consecutive month as the U.S. saw gains nationwide, according to the S&P/Case-Shiller home price index.

The index covering 20 metro areas posted its highest bump in seven years. All cities saw annual price increases, led by San Francisco at 23.9 percent. Housing prices in South Florida jumped 12 percent from a year ago, the biggest advance since July 2006.

The recovery should continue as banks start to ease credit restrictions, David M. Blitzer, chairman of the index committee, said in a statement.

Some analysts say an expected rise in lending rates could slow price growth and activity. The index does not include prices for condos and trails Realtor data by one month. –Emily Schmall