NAR: Home Prices Increased in 77% of Metro Areas in Third Quarter of 2025
WASHINGTON—Home prices rose in 77% of metro markets (176 out of 230) during the third quarter of 2025, according to the National Association of Realtors latest quarterly report released today. This is up from 75% in the second quarter. Four percent of metro areas recorded double-digit price gains in the third quarter, down slightly from 5% in the second quarter of 2025.
The national median single-family existing-home price grew 1.7% year over year to $426,800—the same annual growth rate recorded in the second quarter.
Median existing single-family home price by region (year-over-year change)
Northeast: $540,100 (+6.0%)
Midwest: $331,100 (+4.2%)
South: $372,800 (+0.5%)
West: $633,900 (-0.1%)
“Home sales have struggled to gain traction, but prices continue to rise, contributing to record-high housing wealth,” said NAR Chief Economist Lawrence Yun. “Markets in the supply-constrained Northeast and the more affordable Midwest have generally seen stronger price appreciation.”
“Price declines are occurring mainly in southern states, where there has been robust new home construction in recent years,” added Yun. “Given the region’s faster job growth, these price drops should be viewed as temporary and as a second-chance opportunity for those previously priced out of the market.”
10 Large Markets with Biggest Year-Over-Year Median Price Increases
Trenton, NJ (+9.9%)
Lansing-East Lansing, MI (+9.8%)
Nassau County-Suffolk County, NY (+9.4%)
New Haven-Milford, CT (+9.0%)
New York-Jersey City-White Plains, NY-NJ (+8.1%)
Manchester-Nashua, NH (+8.0%)
St. Louis, Mo.-Ill. (+7.9%)
Bridgeport-Stamford-Norwalk, CT (+7.8%)
Toledo, OH (+7.7%)
Cleveland-Elyria, OH (+7.7%)
10 Most Expensive Markets
San Jose-Sunnyvale-Santa Clara, CA ($1,915,000; +0.8%)
Anaheim-Santa Ana-Irvine, CA ($1,400,000; +0.1%)
San Francisco-Oakland-Hayward, CA ($1,315,000; +0.5%)
Urban Honolulu, HI ($1,127,900; -0.9%)
Salinas, CA ($1,019,900; +6.3%)
San Diego-Carlsbad, CA ($1,009,500; 0.0%)
Los Angeles-Long Beach-Glendale, CA ($954,100; +0.7%)
Oxnard-Thousand Oaks-Ventura, CA ($935,700; -1.2%)
San Luis Obispo-Paso Robles, CA ($931,800; -1.9%)
Bridgeport-Stamford-Norwalk, CT ($844,900; +7.8%)
Housing Affordability
- 23% of markets experienced declining home price, down slightly from 24% last quarter.
- $2,187: monthly mortgage payment on a typical existing single-family home with a 20% down payment.
- 2.8% decrease from the previous quarter.
- 2.1% increase year-over-year.
- 24.8%: average share of income typical families spent on mortgage payments.
- Down from 25.6% last quarter.
- Down from 25.2% last year.
First-Time Buyers
- $2,146: the monthly mortgage payment for a typical starter home valued at $362,800 with a 10% down payment.
- $61 decrease from Q2.
- $45 increase year-over-year.
- 37.4%: share of income first-time buyers spent on monthly mortgage payments.
- Down from 38.6% in Q2.
- Down from 38.1% year-over-year.
