Redfin Reports U.S. Home Prices Grew 0.4% in February, the Slowest Pace Since July

Eight of the 50 most populous U.S. metros—including seven in Florida and Texas—recorded a drop in home prices year over year, led by Tampa (-6%)

SEATTLE--(BUSINESS WIRE)-- (NASDAQ: RDFN) — U.S. home prices grew 0.4% from a month earlier in February on a seasonally adjusted basis, equal to the slowest pace since July 2024, according to a new report from Redfin (redfin.com), the technology-powered real estate brokerage. Home prices were up 5.1% on a year-over-year basis—the slowest pace since August 2023.

Prices have grown between 0.4% and 0.6% month over month in 13 of the past 16 months.

This is according to the Redfin Home Price Index (RHPI), which uses the repeat-sales pricing method to calculate seasonally adjusted changes in prices of single-family homes. The RHPI measures sale prices of homes that sold during a given period, and how those prices have changed since the last time those same homes sold.

Redfin Senior Economist Sheharyar Bokhari said while home prices are rising steadily, year-over-year growth has slowed for 10 consecutive months, dropping from 7.5% in April 2024 to 5.1% in February.

“There’s some good news for both buyers and sellers as we enter the Spring homebuying season. The recent decline in mortgage rates and slowing price growth is bringing more home hunters off the sidelines, an encouraging sign for potential sellers,” he said.

“At the same time, some areas of the country have turned into fully fledged buyer’s markets, where homes are sitting longer and people are able to negotiate a good deal under the list price. That’s particularly the case in several Florida and Texas markets where the number of homes on the market has ballooned and prices are now starting to fall,” he said.

Metro-Level Summary: Redfin Home Price Index, February 2025

Eight (16%) of the 50 most populous U.S. metro areas—including seven in Florida and Texas—recorded a seasonally adjusted drop in home prices in February, year over year.

The biggest decline was in Tampa, FL (-6%), followed by Austin, TX (-3.5%) and Fort Worth, TX (-2.4%). The highest year over year gains were recorded in Detroit (20.9%), St Louis (12.6%) and Pittsburgh (12.6%).

To view the full report, including charts, additional metro-level data and methodology, please visit: https://www.redfin.com/news/home-price-index-february-2025

About Redfin

Redfin (www.redfin.com) is a technology-powered real estate company. We help people find a place to live with brokerage, rentals, lending, and title insurance services. We run the country's #1 real estate brokerage site. Our customers can save thousands in fees while working with a top agent. Our home-buying customers see homes first with on-demand tours, and our lending and title services help them close quickly. Our rentals business empowers millions nationwide to find apartments and houses for rent. Since launching in 2006, we've saved customers more than $1.8 billion in commissions. We serve approximately 100 markets across the U.S. and Canada and employ over 4,000 people.

Redfin’s subsidiaries and affiliated brands include: Bay Equity Home Loans®, Rent.™, Apartment Guide®, Title Forward® and WalkScore®.

For more information or to contact a local Redfin real estate agent, visit www.redfin.com. To learn about housing market trends and download data, visit the Redfin Data Center. To be added to Redfin's press release distribution list, email press@redfin.com. To view Redfin's press center, click here.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250318419687/en/

Contact Redfin

Redfin Journalist Services:

Isabelle Novak

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Source: Redfin