Home prices in the U.S. climbed more than forecast in July from a year earlier, adding to signs that housing will spur economic growth.

The S&P/Case-Shiller index of property values in 20 cities increased 1.2 percent from July 2011, the biggest 12-month advance since August 2010, a report from the group showed today in New York. The median forecast of 23 economists surveyed by Bloomberg called for a 1.1 percent gain.