MarketMoodz
Regional price declines dominate as housing cools; Hawaii, Sun Belt lead losses
December 2025 national home-price growth cooled to 0.9% as regional weakness intensified. A Fox Business summary of Cotality data shows Hawaii, Texas, and Florida markets leading the declines, even as a handful of Indiana and Midwest markets posted sizable gains; independent verification of the dataset is pending.
Key Takeaways
- National December 2025 price growth slowed to 0.9% YoY.
- Steepest declines include Kahului–Wailuku, HI (-8.0%), Victoria, TX (-7.4%), Napa, CA (-7.1%), and Naples, FL (-6.8%).
- Youngstown, OH was the hottest market with +15.9% YoY; several Indiana markets also posted double‑digit gains.
- Indiana/Midwest gains contrast with Sun Belt and Hawaii declines, underscoring regional divergence.
- Path forward hinges on wage growth, purchaser power, and broader rate trends, with inventories and affordability driving buyer leverage.
People Involved
- Selma HeppChief Economist, Cotality
Entities Involved
- CotalityEconomic data provider
- Fox BusinessNews outlet summarizing the dataset
MarketMoodz Analysis
Regional divergence matters for buyers, sellers, and lenders. Inventory levels and affordability are the main levers shaping buyer leverage, and the sharp declines in Hawaii, Texas, and select Florida metros create negotiating headroom for buyers in those markets while Indiana and Midwest regions show resilience.
Historically, price growth has cooled toward post‑Great Recession levels, a pattern that makes wage growth and mortgage-rate trends pivotal for the pace of any rebound. Investors should watch wage dynamics, financing costs, and inventory relief to gauge where demand could reaccelerate and which markets may lag as the cycle heals.
Source: Original Article
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