Summary
A new study by Cotality shows that Florida and Washington D.C. saw the biggest home price drops compared to last year. Home prices grew slowly across the U.S. in September due to higher costs like mortgage rates and taxes. Seven of the ten markets with the largest price drops are in Florida, while the Northeast continues to have high demand.
Key Facts
- Florida and Washington D.C. had the biggest drops in home prices in September compared to the same time last year.
- Home prices across the U.S. were only 1.2% higher in September than the year before and have decreased by 0.2% from the previous month.
- The increase in available homes has reached its highest level since 2019.
- Twenty percent of the 411 U.S. metropolitan areas saw home prices go down in September.
- Seven of the ten U.S. markets with the largest price drops were in Florida.
- The Northeast has the hottest markets due to home shortages and strong job markets.
- Florida's markets are cooling because they rely more on retirement and tourism, with less economic diversity.
- The rising costs of owning a home, such as escrow payments, are affecting affordability and keeping properties on the market longer.
