US home prices hold below long-term average for 17th month
Sun Belt and Western metros are correcting in the opposite direction. Dallas posted the steepest annual decline at -5.0%, followed by Austin, Texas (-3.4%), San Antonio (-2.9%), Tampa, Fla. (-1.9%), and Denver (-1.9%).
“These declines reflect a broader market rebalancing after years of rapid growth,” Fleming said.
“Although price declines can be difficult for homeowners, they may help improve affordability and create a healthier path back toward balance for buyers and sellers.”
MBA chief economist Mike Fratantoni previously noted that mortgage rates have more than doubled from their post-pandemic low and that home prices are up more than 50% from pre-pandemic levels — a dual constraint that continues to squeeze first-time buyers out of most major metros.
Edward Seiler of the Mortgage Bankers Association says monthly mortgage payments eased in August as smaller loan sizes helped offset higher rates, although affordability continues to vary significantly across markets.https://t.co/PdtWg8gCic
— Mortgage Professional America Magazine (@MPAMagazineUS) September 25, 2026
Where starter home growth is holding firm
This month’s report expands First American’s coverage to the top 50 CBSAs for the first time, including price tier data segmenting markets into starter, mid and luxury tiers.
