The S&P/Case-Shiller home price index increased 5.0% in March, beating expectations for a 4.6% rise, after a 5.0% gain in February.

San Francisco and Denver were the largest contributors to the rise, where prices climbed by 10.3% and 10.0%, respectively.

"Given the long stretch of strong reports, it is no surprise that people are asking if we're in a new home price bubble. The only way you can be sure of a bubble is looking back after it's over," chairman of the index committee at S&P Dow Jones Indices David Blitzer said.

On a monthly basis, the S&P/Case-Shiller home price index climbed by a seasonally adjusted 1.0% in March, after a revised 1.2% in February.

The S&P/Case-Shiller home price index measures single-family home prices in 20 U.S. cities.