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Nationwide residence costs rose +0.1% year-over-year between October 2024 and October 2025, based on the Zillow Dwelling Worth Index studying printed final week—a decelerated fee from the +2.4% year-over-year fee between October 2023 and October 2024.
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 (i.e., 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 (i.e., 14% of markets) had a falling year-over-year studying within the February 2024 to February 2025 window.
—> 60 of the nation’s 300 largest housing markets (i.e., 20% of markets) had a falling year-over-year studying within the March 2024 to March 2025 window.
—> 80 of the nation’s 300 largest housing markets (i.e., 27% of markets) had a falling year-over-year studying within the April 2024 to April 2025 window.
—> 96 of the nation’s 300 largest housing markets (i.e., 32% of markets) had a falling year-over-year studying within the Could 2024 to Could 2025 window.
—> 110 of the nation’s 300 largest housing markets (i.e., 36% of markets) had a falling year-over-year studying within the June 2024 to June 2025 window.
—> 105 of the nation’s 300 largest housing markets (i.e., 36% of markets) had a falling year-over-year studying within the July 2024 to July 2025 window.
—> 109 of the nation’s 300 largest housing markets (i.e., 35% of markets) had a falling year-over-year studying within the August 2024 to August 2025 window.
—> 105 of the nation’s 300 largest housing markets (i.e., 35% of markets) had a falling year-over-year studying within the September 2024 to September 2025 window.
—> 105 of the nation’s 300 largest housing markets (i.e., 35% of markets) had a falling year-over-year studying within the October 2024 to October 2025 window.
Earlier this yr, an rising variety of housing markets slipped into year-over-year worth declines as the supply-demand balance step by step tilted extra towards patrons. However in current months, the listing of declining markets has begun to stabilize as stock development has stalled.
Dwelling costs are nonetheless climbing in lots of areas where active inventory remains well below pre-pandemic 2019 levels, similar to pockets of the Northeast and Midwest. In distinction, some pockets in states like Arizona, Texas, Florida, and Colorado—the place lively stock exceeds pre-pandemic 2019 ranges—are seeing modest residence worth pullbacks.
Most of the housing markets seeing essentially the most softness, the place homebuyers have gained essentially the most leverage, are primarily positioned in Solar Belt areas, notably the Gulf Coast and Mountain West.
Many of those areas noticed main worth surges through the Pandemic Housing Growth, with residence worth development outpacing native revenue ranges. As pandemic-driven home migration slowed and mortgage charges rose, markets like Tampa and Austin confronted challenges, counting on native revenue ranges to assist frothy residence costs.
This softening development is additional compounded by an abundance of recent residence provide within the Solar Belt. Builders are sometimes prepared to decrease costs or provide affordability incentives to keep up gross sales, which additionally has a cooling impact on the resale market. Some patrons, who would have beforehand thought-about current houses, at the moment are choosing new houses with extra favorable homebuilder offers.
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After all, whereas 105 of the nation’s 300 largest metro space housing markets are seeing year-over-year residence worth declines, one other 195 are nonetheless seeing year-over-year residence worth will increase.
The place are residence costs nonetheless up on a year-over-year foundation? See the map beneath.
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