The Case-Shiller index showed month over month and year over year gains of 1.3% and 4.6% respectively, but the report authors warn that the housing economy isn’t out of the woods yet. Much of this improvement could be attributable to the government’s now-expired homebuyer tax credit.

“We need to watch where the housing market will go after these temporary stimuli go away,” said managing director of the S&P indices David Blitzer. “June’s existing and new home sales and housing starts data have not shown real improvement either.”

He added: “It still looks possible that the housing market might bounce along the bottom for the foreseeable future before showing any real improvement that will filter through to the rest of the economy.”

Blitzer also noted a look at house price levels over the past year do not indicate a “sustained recovery” in housing. 

Source: Housingwire