Tax Credit, Homebuyer Tax Credit | featured news

A 3.8% increase in April compared with the same period last year is the third straight month of appreciation but analysts say prices are likely to drop again with the end of the tax credit. L.A., San Diego see gain of 0.7%.

Home prices in 20 major cities gained ground for the third consecutive month in April when compared with their year-earlier levels.

Sales of new homes dropped a record 32.7 percent in May to the lowest level in at least four decades as the boost from a popular tax credit faded, adding to worries of a slowing economic recovery.

Extending the homebuyer tax credit won't avoid a possible double-dip, only delay it.