Regions with faster growth in housing supply relative to demand were more likely to experience price declines, while areas with limited new supply maintained steadier growth. Notably, Pittsburgh saw the highest year-over-year growth in its starter-tier home prices, with a 9.5% increase. Cambridge, Massachusetts, and New York City also recorded robust gains, while areas like Tampa, Florida, and Oakland, California, experienced price declines.
National trends
House prices nationally are now 54.8% higher than pre-pandemic levels in February 2020, underscoring the lasting impact of the housing market boom during the COVID-19 pandemic. Month-over-month growth from November to December 2024 was modest at 0.1%, highlighting the ongoing cooling trend.
Local market performance varied significantly by price tier. Starter homes in Pittsburgh and Cambridge showed strong growth, while mid-tier and luxury home prices displayed slower, yet stable, appreciation across most regions.
Fleming suggested that if current conditions persist, the housing market in 2025 could see “very moderate price appreciation.” Areas with sustained inventory growth may face continued price softening, while markets with tighter inventories could experience a rebound in price growth.
The HPI, based on more than 46 million paired property transactions, uses a comprehensive methodology that incorporates public sales records, MLS data, and appraisal data to measure price changes across market segments. The next HPI update from First American Data & Analytics is scheduled for the week of February 17, 2025.
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