Key Insights At National Level
U.S. home values for combined single-family detached and single-family attached properties increased by just 3% in January 2025 from a year ago. The annual growth might slow even further in the coming months, given the strong Spring season last year.
On a month-over-month basis, non-seasonally adjusted (NSA) home values decreased by -0.7% in January 2025, which is the biggest monthly drop in two years. On a seasonally adjusted basis, home values decreased by -0.3% from a month ago.
Nationwide home values ended the first month of 2025 on a downward trend. They seem to finally give in to the market realities of high interest rates, near-record home prices and a meaningful increase in inventory along with slow buyer demand.
Valuation Model Datasheet
Key Insights At State Level
On a year-over-year basis, only the District of Columbia and Texas recorded home value depreciation through January 2025. Maine continued to stand apart with the strongest home value growth of above 10%.
On a month-over-month basis, all states except Alaska, Oklahoma and Nebraska recorded non-seasonally adjusted home value depreciation in January 2025. Mississippi and Louisiana had the biggest home value drops, around -2%.
On a non-seasonally adjusted basis, the median month-over-month home value change across all states went significantly down to -0.6%, from -0.2% just a month ago, which signals a challenging 2025 for home prices.
Top 50 CBSA Markets
On a year-over-year basis, Austin (TX) and North Port – Sarasota (FL) continued their home value depreciation, falling below -5% through January 2025. At the other end of the spectrum, Cincinnati (OH), Providence (RI) and Hartford (CT) show strong annual home value growth.
On a month-over-month basis, about 90% of the top 50 CBSA markets show non-seasonally adjusted home value depreciation in January 2025, led by New Orleans (LA) and Austin (TX). Only Oklahoma City (OK), Miami (FL), Kansas City (KS), Louisville (KY) and New York (NY) had some home value appreciation.
Home value depreciation accelerated in most markets during January 2025. On a non-seasonally adjusted basis, the median month-over-month home value change among the top 50 CBSA markets dropped to -0.6%, doubling from -0.3% a month ago and showing signs of downward pressure ahead of the busy Spring season.
Why TerraIndex™ HPI
Our Home Price Index (HPI) is based on the proprietary Quantarium Valuation Model (QVM) value estimates for more than 100 million residential U.S. homes. QVM has been tested extensively in the last 5 years by some of the top third-party AVM testing agencies in the U.S. and has been consistently ranked at the top for both Accuracy and Hit Rate performance metrics. QVM was also recently approved by Fitch Ratings for Wall Street transactions. You can read the announcement here.
QVM re-computes the estimated values for the entire national footprint on a weekly basis, along with HPIs at various geography levels – from State, County, CBSA, down to Zip Code and Census Tract. Furthermore, the HPIs produced on any given date are based on proprietary valuation models which include over 90% of all sales transactions that will have been eventually reported through a four-week rolling period ending that date, taking advantage of Quantarium’s industry leading Data Services Platform (QDSP) to reduce the processing time lag to an absolute minimum. That allows Quantarium to provide the most current market insights, weeks faster than most other housing indices in the U.S. Learn more about TerraIndex™ HPI here.
The report for a given month is usually available on the second Wednesday of the following month, for example HPIs for the month of December 2022 were made available on Wednesday, January 11, 2023.
About Quantarium
Located in Bellevue, WA, Quantarium was founded by a team of leading scientists and Ph.D.’s. The company has designed and developed an innovative and enabling set of AI and Visual Technologies currently being deployed across multiple real estate industry sectors. Quantarium is one of the most accurate sources of property insights for over 158 million U.S. properties and trusted by major mortgage lenders, financial institutes, builders, direct marketing agencies, and real estate professionals across the nation. With a technology suite that is different in kind, then degree, the company’s products and services uncover and capitalize on the core DNA of vertical industries. From genetic modeling property valuations and markets that understand and interpret real estate data as expressed through synthetic future populations, through to CV adjusted values, Quantarium offers real AI to drive real value.
For business inquiries, please contact us at 424.210.8847 or discover@quantarium.com.
