U.S. sees increase in prices of homes

Home prices rose for the third-straight month in August, a key ingredient for a broad and sustained housing recovery.

The Standard & Poor’s/ Case-Shiller home price index of 20 major cities climbed from July to a seasonally adjusted reading of 144.51. While prices are down 11.4 percent from August a year ago, the annual declines have slowed since February.

“We’re nearing the bottom in home prices,” said Patrick Newport, an economist at IHS Global Insight in Lexington, Mass. “Right now the government is helping to stabilize housing.”

In Arkansas, home prices have dropped for 14 straight months. The average price in Arkansas in August, the most recent information available, was $145,761, a decline of 2.5 ...