US Home Prices Rise 0.9% Yearly as Housing Market Slows Down
‘The Big Money Show’ discusses why millions of American homeowners are not selling.
The housing market has experienced a significant cooling this winter, with the annual pace of home price growth dropping to levels not seen since the recovery from the Great Recession. While some regions continue to witness robust price increases, others are facing notable declines.
Recent data from Cotality, a data analytics and tech company specializing in real estate, mortgage, and insurance, indicates that annual housing price growth slowed to a mere 0.9% in December, marking one of the softest rates since the post-Great Recession recovery.
According to Cotality’s Chief Economist, Selma Hepp, “We are seeing a significant departure from the rapid surges of recent years; while the upward pressure on prices remains, the momentum has moderated enough to suggest that the market is finally becoming more navigable for prospective buyers.”
HOMEBUYERS GAIN UPPER HAND IN 3 MAJOR CITIES AS INVENTORIES GROW
Home prices have notably declined in several key areas across the South and West, particularly in regions that previously experienced rapid growth. This shift is attributed to moderating in-migration trends and increasing inventory levels.
Workers build homes in the Bridgeland master-planned community in Cypress, Texas, Nov. 10, 2025. (Brett Coomer/Houston Chronicle via Getty Images)
Cotality’s report highlights that the local housing market experiencing the steepest decline was Kahului-Wailuku, Hawaii, where prices fell by 8% year-over-year in December. The Lone Star State had two localities in the top 10 for declines, with Victoria, Texas, down 7.4% and Wichita Falls, Texas, down 7.2%.
Among West Coast localities, Napa, California, recorded the steepest decline at 7.1%.
THE ‘POISON PILL’ AND DIGITAL SECRETS FLIPPING THE SUNSHINE STATE’S CONDO POWER DYNAMIC
Florida had five communities in the top 10 for steepest price declines, led by Naples (-6.8%), followed by Punta Gorda and Cape Coral (-6.2% each), North Port (-5.9%), and Sebastian (-5.2%).
Rome, Georgia, rounded out the top 10 with a 5.2% year-over-year price decline.
On the other hand, the hottest housing market identified in Cotality’s report was Youngstown, Ohio, with a remarkable price surge of 15.9% over the past year.
THESE STATES ARE CONSIDERING ELIMINATING PROPERTY TAXES FOR HOMEOWNERS
Four of the hottest markets were located in Indiana, with Terre Haute achieving a notable gain of 11.4%. Other
Naples, Fla., was one of the 10 communities with the steepest home price declines. (Lisette Morales McCabe/Bloomberg via Getty Images)
Two additional markets in the Midwest and Plains also made the list of the 10 hottest markets, with prices increasing by 8.7% in Manhattan, Kansas, and 8.5% in Traverse City, Michigan.
The hottest housing market in the South was Hattiesburg, Mississippi, which saw prices rise by 8.4% over the last year.
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As we progress through 2026, the trajectory of the housing market will heavily depend on wage growth and how quickly buyers can regain the purchasing power necessary to meet sellers’ pricing expectations. Currently, Cotality’s data indicates that the housing landscape is stabilizing after a prolonged period of imbalance, finding its footing.
Fox News Digital’s Amanda Macias contributed to this report.
‘The Big Money Show’ discusses why millions of American homeowners are not selling.
The housing market has experienced a significant cooling this winter, with the annual pace of home price growth dropping to levels not seen since the recovery from the Great Recession. While some regions continue to witness robust price increases, others are facing notable declines.
Recent data from Cotality, a data analytics and tech company specializing in real estate, mortgage, and insurance, indicates that annual housing price growth slowed to a mere 0.9% in December, marking one of the softest rates since the post-Great Recession recovery.
According to Cotality’s Chief Economist, Selma Hepp, “We are seeing a significant departure from the rapid surges of recent years; while the upward pressure on prices remains, the momentum has moderated enough to suggest that the market is finally becoming more navigable for prospective buyers.”
HOMEBUYERS GAIN UPPER HAND IN 3 MAJOR CITIES AS INVENTORIES GROW
Home prices have notably declined in several key areas across the South and West, particularly in regions that previously experienced rapid growth. This shift is attributed to moderating in-migration trends and increasing inventory levels.
Workers build homes in the Bridgeland master-planned community in Cypress, Texas, Nov. 10, 2025. (Brett Coomer/Houston Chronicle via Getty Images)
Cotality’s report highlights that the local housing market experiencing the steepest decline was Kahului-Wailuku, Hawaii, where prices fell by 8% year-over-year in December. The Lone Star State had two localities in the top 10 for declines, with Victoria, Texas, down 7.4% and Wichita Falls, Texas, down 7.2%.
Among West Coast localities, Napa, California, recorded the steepest decline at 7.1%.
THE ‘POISON PILL’ AND DIGITAL SECRETS FLIPPING THE SUNSHINE STATE’S CONDO POWER DYNAMIC
Florida had five communities in the top 10 for steepest price declines, led by Naples (-6.8%), followed by Punta Gorda and Cape Coral (-6.2% each), North Port (-5.9%), and Sebastian (-5.2%).
Rome, Georgia, rounded out the top 10 with a 5.2% year-over-year price decline.
On the other hand, the hottest housing market identified in Cotality’s report was Youngstown, Ohio, with a remarkable price surge of 15.9% over the past year.
THESE STATES ARE CONSIDERING ELIMINATING PROPERTY TAXES FOR HOMEOWNERS
Four of the hottest markets were located in Indiana, with Terre Haute achieving a notable gain of 11.4%. Other
Naples, Fla., was one of the 10 communities with the steepest home price declines. (Lisette Morales McCabe/Bloomberg via Getty Images)
Two additional markets in the Midwest and Plains also made the list of the 10 hottest markets, with prices increasing by 8.7% in Manhattan, Kansas, and 8.5% in Traverse City, Michigan.
The hottest housing market in the South was Hattiesburg, Mississippi, which saw prices rise by 8.4% over the last year.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
As we progress through 2026, the trajectory of the housing market will heavily depend on wage growth and how quickly buyers can regain the purchasing power necessary to meet sellers’ pricing expectations. Currently, Cotality’s data indicates that the housing landscape is stabilizing after a prolonged period of imbalance, finding its footing.
Fox News Digital’s Amanda Macias contributed to this report.
