Which Local Markets Are Seeing Declines in House Pricing?

Since the onset of the COVID-19 pandemic, house prices have surged nationwide. Between the first quarter of 2020 and the third quarter of 2025, national house prices climbed 54.9%. Local markets saw broad gains as well, with cumulative appreciation ranging from 18.3% to 88.4%, and 159 metro areas reached their highest recorded house prices in the third quarter of 2025.

However, this national trend masks significant variation across local markets. More than half of metro areas have now experienced at least some decline from their recent price peak. These declines range from a slight 0.1% dip to a more substantial 12.7% decline, with most of the downward trends beginning in late 2024 or early 2025.

Markets with significant corrections include:

• Punta Gorda, Fla. — Prices have fallen 12.7% since their peak in the fourth quarter of 2022.
• Austin–Round Rock–San Marcos, Texas — Prices have dropped 11.3% since reaching a peak in the second quarter of 2022.
• Victoria, Texas — Prices have declined 11% over the past three quarters following their peak in the fourth quarter of 2024.

In contrast, many metro areas in the Midwest and Northeast have avoided significant price declines. These regions continue to see slower but steady price growth, supported by persistent inventory shortages and solid demand.

Examples include:

• York–Hanover, Pa. — House Prices increased 6% year over year increase in the third quarter of 2025, reflecting stable demand and limited housing supply.
• Worcester, Mass. — Following a rapid 18% growth in the third quarter of 2021, home prices still posted a solid 4.4% year-over-year gain in the third quarter of 2025.
• Wausau, Wis. — This is one of the strongest and most resilient housing markets in the region, with home prices increasing year over year by a robust 9.5%.
• Milwaukee-Waukesha, Wis. — House prices continue to rise, easing from a peak of 16.7% growth in the second quarter of 2022 to a more sustainable 5.6% year-over-year increase in the third quarter of 2025.

Explore a full interactive map of U.S. metro areas in this Eye on Housing post to see where home prices have grown or declined.