Home prices nationwide fell in May compared to a year earlier, data analysis company CoreLogic said on Thursday.

CoreLogic’s home price index decreased 7.4 percent in May compared to the same time a year ago. Excluding distressed sales, prices declined just 0.4 percent year-over-year.

Relative strength in the non-distressed market, a slow decline in the number of homes expected to go on the market — known as shadow inventory — and stabilization in the amount of underwater homeowners are all positive signs, said Mark Fleming, chief economist for CoreLogic.

"Nonetheless, the fragile economic recovery is still critical to the long-term recovery in the housing market," Fleming said in a statement.

Of the top 100 statistical areas measured by population, 91 showed yearly declines, the same amount as in April. (Reuters)