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Primarily based on our evaluation of the Zillow House Worth Index, U.S. house costs—together with single-family and condos—rose 0.8% between Could 2025 and Could 2026. That tempo is about the identical because it was a 12 months in the past, again in Could 2025, when the nationwide year-over-year house worth development price was 0.4%. And it’s up barely from the current year-over-year low of -0.01% in August 2025.
Within the first half of 2025, the variety of main metro space housing markets seeing year-over-year declines climbed. That depend has since stopped ticking up.
- 31 of the nation’s 300 largest housing markets (10% of markets) had a falling year-over-year studying within the January 2024 to January 2025 window.
- 42 of the nation’s 300 largest housing markets (14%) had a falling year-over-year studying within the February 2024 to February 2025 window.
- 60 of the nation’s 300 largest housing markets (20%) had a falling year-over-year studying within the March 2024 to March 2025 window.
- 80 of the nation’s 300 largest housing markets (27%) had a falling year-over-year studying within the April 2024 to April 2025 window.
- 96 of the nation’s 300 largest housing markets (32%) had a falling year-over-year studying within the Could 2024 to Could 2025 window.
- 110 of the nation’s 300 largest housing markets (36%) had a falling year-over-year studying within the June 2024 to June 2025 window.
- 105 of the nation’s 300 largest housing markets (36%) had a falling year-over-year studying within the July 2024 to July 2025 window.
- 109 of the nation’s 300 largest housing markets (35%) had a falling year-over-year studying within the August 2024 to August 2025 window.
- 105 of the nation’s 300 largest housing markets (35%) had a falling year-over-year studying within the September 2024 to September 2025 window.
- 105 of the nation’s 300 largest housing markets (35%) had a falling year-over-year studying within the October 2024 to October 2025 window.
- 98 of the nation’s 300 largest housing markets (33%) had a falling year-over-year studying within the November 2024 to November 2025 window.
- 106 of the nation’s 300 largest housing markets (35%) had a falling year-over-year studying within the December 2024 to December 2025 window.
- 100 of the nation’s 300 largest housing markets (33%) had a falling year-over-year studying within the January 2025 to January 2026 window.
- 99 of the nation’s 300 largest housing markets (i.e., 33%) had a falling year-over-year studying within the February 2025 to February 2026 window.
- 89 of the nation’s 300 largest housing markets (30%) had a falling year-over-year studying within the March 2025 to March 2026 window.
- 81 of the nation’s 300 largest housing markets (27%) had a falling year-over-year studying within the April 2025 to April 2026 window.
- 77 of the nation’s 300 largest housing markets (26%) had a falling year-over-year studying within the Could 2025 to Could 2026 window.
As you may see above, within the first half of 2025, there was a notable enhance within the variety of housing markets slipping into year-over-year worth declines as the supply–demand equilibrium (as measured by stock) shifted towards homebuyers. Over the previous 11 months, nonetheless, the listing of declining markets has begun to stabilize and stock development has decelerated.
Among the many 77 main metro space housing markets seeing falling year-over-year house costs, these had the largest declines: Punta Gorda, Florida (-7.9%); London, Kentucky (-7.1%); Cape Coral, Florida (-6.1%); Austin (-5.7%); North Port, Florida (-5.3%); Kahului, Hawaii (-4.6% ); and Naples, Florida (-4.4%).
Again in fall 2025, ResiClub advised readers that we anticipated the depend of the variety of markets with year-over-year worth declines to lower slightly within the first half of 2026. That’s precisely what we’ve seen. It’s nonetheless very a lot a delicate nationally aggregated housing market—however the burst of softening has let up.
House costs are nonetheless climbing slightly year-over-year in lots of areas where active inventory remains well below prepandemic 2019 levels, corresponding to pockets of the Northeast and Midwest. In distinction, some pockets in states like Texas, Florida, and Colorado—the place lively stock exceeds prepandemic ranges by a strong clip—are seeing modest house worth pullbacks or flat pricing.
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Housing markets seeing probably the most softness, the place homebuyers have gained probably the most leverage, are primarily in Solar Belt areas, significantly the Gulf Coast and Mountain West.
Many of these areas saw even greater price surges during the pandemic housing boom, with house worth development outpacing native revenue ranges. As pandemic-driven home migration slowed and mortgage charges rose in 2022, markets like Tampa, Florida, and Austin confronted challenges, counting on native revenue ranges to help frothy house costs.
That Solar Belt softening was compounded by an abundance of recent house provide. Builders are sometimes keen to decrease costs or provide affordability incentives to take care of gross sales, which has a cooling impact on the resale market. Because of this, some consumers who may need beforehand opted for current properties are as a substitute selecting new development with extra enticing offers—which added additional upward strain to resale stock development over the previous few years.
In fact, whereas 77 of the nation’s 300 largest metro space housing markets are seeing year-over-year house worth declines, one other 223 are seeing year-over-year house worth will increase.
The place are house costs nonetheless up on a year-over-year foundation? See the map under.
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Beneath is a historic chart exhibiting the year-over-year change in house costs throughout the 50 largest metro housing markets, with the yellow line representing the nationwide mixture, courting again to 2000.
Whereas the vary [see chart above] between the strongest and weakest metro space housing markets proper now could be pretty regular traditionally talking, the “bifurcation” —the share of markets with rising house costs versus these with falling costs—is wider than regular, on condition that nationwide appreciation has stabilized right into a softer market with development barely above zero. And the longer some markets stay within the rising camp whereas others keep within the falling camp, the broader the gulf between the comparatively extra resilient markets and the weaker ones.
For instance, house costs within the Hartford, Connecticut, metro space are actually +25.6% above their 2022 peak, whereas house costs within the Austin metro space sit -27.3% under their 2022 peak. A few of that bifurcation boils right down to reversion to the imply, with most of the house worth declines occurring in markets that overheated further during the pandemic boom.
Notice: For the historic chart under, we analyzed the 200 largest markets moderately than the 300 used above, as some markets ranked 201 to 300 lack full information going again to 2000. When weighted by inhabitants (not visualized), the housing market seems barely weaker than the chart under suggests—which aligns with the truth that, amongst simply the 50 largest housing markets, 22 (44%) are posting year-over-year worth declines, and nationally aggregated house costs are up simply 0.8% year-over-year utilizing the Zillow House Worth Index.
