Housing Price Outlook in the U.S.

In June 2024, home prices nationwide, including properties in distress, increased by 4.7% compared to the same month last year. From May to June 2024, prices rose by 0.3%. CoreLogic has revised this data to ensure maximum accuracy, incorporating the latest information from public records.

National Price Forecast

CoreLogic predicts that home prices will rise by 0.3% between June and July 2024, and will grow by 2.3% between June 2024 and June 2025.

Rate cuts are expected to be insufficient to revive the cooling of home price growth

Although this is the 149th consecutive month that home prices have risen, the pace is cooling. The 4.7% increase in June is less than in previous months, and only one state recorded a double-digit increase this month. Prices are expected to slow even further next summer, with an annual growth forecast of only 2.3%.

This cooling is largely due to high mortgage rates. Although the Federal Reserve is expected to cut rates in September, high interest rates continue to impact affordability. Some southern markets are seeing an increase in housing inventory, which is pushing prices below last year's levels.

"Activity in the housing market nearly came to a standstill at the end of the spring buying season. High mortgage rates are compressing affordability, discouraging potential buyers," says Dr. Selma Hepp, Chief Economist at CoreLogic.

National and State HPI Maps – June 2024

In June 2024, national home prices increased by 4.7% compared to the previous year. No state recorded a decline in prices. The largest increases were in South Dakota (10.0%), New Jersey (9.3%), Rhode Island (9.2%), Connecticut (8.5%), and New Hampshire (8.2%).

Change in the 10 largest metropolitan markets by HPI

The CoreLogic HPI analyzes different market segments based on property type, price, time between sales, loan type, and distressed sales. Here’s how prices changed in 10 major metropolitan areas in the U.S. between June 2023 and June 2024, highlighting that Miami had the largest increase at 10% annually.

Markets to Watch: Major Markets at Risk of Declining Home Prices

CoreLogic predicts that the Palm Bay-Titusville-Melbourne, FL area has over a 70% probability of seeing a decline in home prices in the next 12 months. Other high-risk areas include Atlanta-Sandy Springs-Roswell, GA; Gainesville, FL; North Port-Sarasota-Bradenton, FL; and Spokane-Spokane Valley, WA.