House price rise boosts Obama poll hopes US house prices rose more than expected in April, adding to evidence of a recovery in residential property and boosting Barack Obama's re-election chances, since the improvement was concentrated in several battleground states. The Case-Shiller index, released on Tuesday, showed house prices in 20 of the largest US cities increased 0.7 per cent in April on a seasonally adjusted basis, for a third consecutive monthly gain. The president - whose hopes of securing a second term in the White House have been damaged by the slowdown in the US economy and job growth - may find comfort in details of the report. On an annual basis, house prices across the country are still down 1.9 per cent, a slower decline than in previous months but a bleak reading for many Americans. The five most politically sensitive cities - Cleveland, Denver, Las Vegas, Miami and Tampa - have performed better, with essentially flat house prices in the year to April 2012. If a wider interpretation of battleground cities is taken - including Charlotte, Detroit, Minneapolis and Phoenix in the sample - "swing city" house prices are up 1.6 per cent. Metropolitan areas that are not expected to be closely contested in the presidential election - including Atlanta, Los Angeles and New York - have experienced price falls over the past year, according to the index. The US housing sector has been a constant source of weakness in the economy since its collapse at the time of the financial crisis. After house prices edged higher in the early stages of the economic recovery, they fell back into a "double dip" that only now seems to be abating. "I think we are all starting to hear that we are at, or near, or recently passed the bottom," said Mark Goldman, a property consultant who teaches at San Diego State University's business school. The April data on house prices were a pleasant surprise for economists, who had expected a more modest seasonally adjusted monthly increase of 0.4 per cent. The figures followed better than expected data on new house building - which reached a two-year high last month. The strength in the housing data could help Mr Obama if it starts to offset the picture of weak job growth and stubbornly high unemployment afflicting the rest of the economy. Housing is the largest investment for many American families - and improving prices could make them feel better about their prospects. Among the five core swing state cities measured by Case-Shiller, Miami has performed the best over the past year, with price gains of 3.2 per cent, with Denver just behind with increases of 2.8 per cent. Las Vegas performed the worst, with declines of 5.8 per cent. The generally better picture in these cities is probably due to the fact that they were hardest hit during the downturn and are attracting buyers hunting for bargains amid rock-bottom mortgage rates. But J Edwin Benton, a professor of political science at the University of South Florida in Tampa, which has seen price increases of 0.8 per cent in the year to April, said this may not be enough to persuade voters to back Mr Obama again. house prices are still stuck at early 2003 levels. I'm not sure prices are increasing enough to make a difference. If you're using this as a yardstick to measure the president's handling of the economy, it's a ripple in a much larger pond," Prof Benton said. It's still not looking good for the president down here. A monthly survey of consumer confidence released by the Conference Board on Tuesday could add to the worries for Mr Obama. Despite falling petrol prices, confidence fell for a fourth month in a row to its lowest level since January, in a sign that Americans are growing increasingly pessimistic about the outlook amid a stagnant labour market and turmoil in Europe. Mitt Romney, the Republican nominee for the White House, did not hesitate to seize on that on Tuesday. "We need a new direction for our economy, with pro-growth policies that will finally give businesses and consumers the confidence they need to get our country back on the right track," he said.