US Home Price Growth Slows in October to Weakest Pace Since 2023

Washington | EcoPulse24

Data from the Case-Shiller Home Price Index show that US home price growth continued to slow in October 2025, signaling that the US housing market has entered a phase of more moderate growth after years of robust increases.

According to the data, the Case-Shiller 20-city home price index rose 1.3% year-over-year in October, compared to a 1.4% increase in September, and slightly surpassing market expectations of 1.1%. This marks the weakest annual growth since July 2023, reinforcing signs of ongoing cooling in the residential property market.

This slowdown comes as home price gains continue to trail consumer inflation, with the Consumer Price Index (CPI) estimated at 3.1% for October. This means real home values, adjusted for inflation, declined slightly over the past twelve months.

Geographically, the data revealed a clear shift in regional performance across the US housing market. Chicago led major cities in annual price growth at 5.8%, followed by New York at 5.0% and Cleveland at 4.1%.

Conversely, Tampa recorded the largest decline among the twenty cities, with a 4.2% annual drop, marking the twelfth consecutive month of yearly price decreases. Cities that experienced pandemic-era booms, particularly in the Sun Belt, continued to face the most significant price pressure, led by Phoenix (-1.5%), Dallas (-1.5%), and Miami (-1.1%).

This regional divergence reflects shifting supply-demand dynamics, along with the impact of high mortgage rates and reduced purchasing power. As a result, the US housing market is moving toward a period of relative stability and more moderate growth, with investors and policymakers closely watching for any potential shifts in monetary policy in the coming period.