U.S. House Price Growth Remains Below Long-Term Average for 17th Straight Month, According to First American Data & Analytics Monthly Home Price Index Report

—Higher mortgage rates and the lock-in effect keep housing supply and demand near a stalemate, says Chief Economist Mark Fleming—

SANTA ANA, Calif.--(BUSINESS WIRE)--First American Data & Analytics, a leading national provider of property-centric information, risk management and valuation solutions and a division of First American Financial Corporation (NYSE: FAF), today released its August 2026 Home Price Index (HPI) report, finding U.S. home prices nationally increased 1.4 percent year over year. The report tracks home price changes less than four weeks behind real time at the national, state and metropolitan (Core-Based Statistical Area) levels and includes metropolitan price tiers that segment sale transactions into starter, mid and luxury tiers. The full report can be found here.

Beginning with this month’s report, the First American Data & Analytics HPI includes expanded coverage of the top 50 housing markets at the Core-Based Statistical Area (CBSA) level and included broader methodological updates, providing additional detail on home price trends across major metropolitan markets.

August¹ National House Price Index

First American Data & Analytics’ National Non-Seasonally Adjusted (NSA) HPI
Metric	Change in HPI
July 2026-August 2026 (month over month)	0.2 percent
August 2025-August 2026 (year over year)	1.4 percent

¹ The most recent index results are subject to revision as data from more transactions become available.

Highlights

• National annual house price appreciation has remained below its nearly three-decade, pre-pandemic historical average of 3.4 percent for 17 consecutive months.
• House prices in August remained approximately 80 percent above their pre-pandemic five-year average for the month.

“Nationally, home price growth is not too hot and not too cold, but it is not quite right for a housing market still seeking balance,” said Mark Fleming, chief economist at First American. “Annual house price growth remains in the low single digits and below its three-decade pre-pandemic average. Higher mortgage rates are weighing on demand, while the mortgage-rate lock-in effect continues to limit supply. For now, that stalemate is keeping home price growth steady, but subdued.”

August 2026 Local Market Price Tier Highlights

The First American Data & Analytics HPI segments home price changes at the metropolitan level into three price tiers based on local market sales data: starter tier, which represents home sales prices at the bottom third of the market price distribution; mid-tier, which represents home sales prices in the middle third of the market price distribution; and the luxury tier, which represents home sales prices in the top third of the market price distribution. Price-tier data are available at the national, state, and 50 largest CBSA levels.

“The national house price growth number masks a significantly divided housing market,” said Fleming. “Chicago, Hartford, Conn., and New York are leading the nation, with the strongest annual gains concentrated in the Northeast and Midwest. By contrast, several Sun Belt and Western markets are giving back some of their pandemic-era gains, including Dallas, Austin, Texas, San Antonio, Tampa, Fla., and Denver. These declines reflect a broader market rebalancing after years of rapid growth. Although price declines can be difficult for homeowners, they may help improve affordability and create a healthier path back toward balance for buyers and sellers.”

August 2026 First American Data & Analytics Price Tier HPI Highlights

Core-Based Statistical Areas (CBSAs) Ranked by Greatest Year-Over-Year Increases in Starter Tier HPI
CBSA	Change in Starter Tier HPI	Change in Mid-Tier HPI	Change in Luxury Tier HPI
Cleveland	+5.5 percent	+3.6 percent	+4.3 percent
Philadelphia	+5.3 percent	+3.0 percent	+3.6 percent
Milwaukee	+5.2 percent	+4.0 percent	+5.4 percent
Grand Rapids, Mich.	+5.1 percent	+3.9 percent	+3.6 percent
Pittsburgh	+5.0 percent	+2.7 percent	+2.6 percent

August 2026 First American Data & Analytics CBSA HPI Highlights

Core-Based Statistical Areas (CBSAs) with Greatest Year-Over-Year Increases in HPI
CBSA	Change in HPI
Chicago	+5.5 percent
Hartford, Conn.	+5.3 percent
New York	+5.2 percent
Milwaukee	+4.8 percent
Cleveland	+4.3 percent
Core-Based Statistical Areas (CBSAs) with a Year-Over-Year Decrease in HPI
Dallas	-5.0 percent
Austin, Texas	-3.4 percent
San Antonio	-2.9 percent
Tampa, Fla.	-1.9 percent
Denver	-1.9 percent

HPI data for all 50 states and the largest 50 CBSAs by population is available here.

Visit the First American Economic Center for more research on housing market dynamics.

Next Release

The next release of the First American Data & Analytics House Price Index will take place the week of October 12, 2026.

August 2026 First American Data & Analytics House Price Index: Frequently Asked Questions

Q: What did the First American Data & Analytics Home Price Index report for August 2026?
A: According to the First American Data & Analytics Home Price Index, U.S. home prices increased 1.4 percent year over year in August 2026 and 0.2 percent from July 2026 to August 2026.

Q: Is U.S. home price growth above or below its historical average?
A: U.S. home price growth nationally remains below its long-term pre-pandemic average. Annual home price appreciation was 1.4 percent in August 2026, compared with the nearly three-decade pre-pandemic average of 3.4 percent. Annual appreciation has remained below that historical average for 17 consecutive months.

Q: Why is U.S. home price growth slowing?
A: Higher mortgage rates are constraining home-buying demand, while the mortgage-rate lock-in effect continues to limit the supply of homes for sale. According to First American Chief Economist Mark Fleming, these competing forces are keeping national home price growth relatively steady, but subdued.

Q: Which U.S. housing markets had the strongest home price growth in August 2026?
A: Among the 50 largest metropolitan markets tracked by the First American Data & Analytics HPI, Chicago had the strongest year-over-year home price growth in August 2026 at 5.5 percent, followed by Hartford, Conn., at 5.3 percent and New York at 5.2 percent.

Q: Which U.S. housing markets experienced falling home prices in August 2026?
A: Among the 50 largest metropolitan markets tracked by the First American Data & Analytics HPI, Dallas had the largest year-over-year decline in August 2026, with prices falling 5.0 percent. Home prices also declined in Austin, Texas (-3.4 percent), San Antonio (-2.9 percent), Tampa, Fla. (-1.9 percent) and Denver (-1.9 percent).

Q: What is the First American Data & Analytics HPI?
A: The First American Data & Analytics Home Price Index measures home price changes at the national, state and metropolitan levels, with data less than four weeks behind real time. The HPI also tracks price changes across starter, mid and luxury price tiers and, beginning with the August 2026 report, provides expanded coverage of the 50 largest metropolitan markets.

Q: How does First American define starter, mid-tier, and luxury homes?
A: The First American Data & Analytics HPI groups home sales into three tiers based on local market sales prices. Starter-tier homes represent the lower third of the local price distribution, mid-tier homes represent the middle third, and luxury homes represent the upper third.

Q: Who produces the First American Data & Analytics HPI?
A: The HPI is produced by First American Data & Analytics, a division of First American Financial Corporation (NYSE: FAF), using more than 46 million paired real estate transactions and the industry’s largest property and ownership dataset.

Q: When will the next HPI report be released?
A: The next First American Data & Analytics Home Price Index report is scheduled for release during the week of October 12, 2026.

First American Data & Analytics HPI Methodology

The First American Data & Analytics HPI report measures single-family home prices, including distressed sales, with indices updated monthly beginning in 1990 through the month of the current report. HPI data is provided at the national, state and CBSA levels and includes preliminary index estimates for the month prior to the report (i.e. the preliminary result of July transactions is reported in August). The most recent index results are subject to revision as data from more transactions become available.

The HPI uses a repeat-sales methodology, which measures price changes for the same property over time using more than 46 million paired transactions to generate the indices. In non-disclosure states, the HPI utilizes MLS sold listings and appraisal data to estimate house prices. This approach is particularly effective in areas where there is limited availability of accurate sale prices, such as non-disclosure states. Property type, price and location data are used to create more refined market segment indices. Real Estate-Owned transactions are not included.

Disclaimer

Opinions, estimates, forecasts and other views contained in this page are those of First American’s Chief Economist, do not necessarily represent the views of First American or its management, should not be construed as indicating First American’s business prospects or expected results, and are subject to change without notice. Although the First American Economics team attempts to provide reliable, useful information, it does not guarantee that the information is accurate, current or suitable for any particular purpose. © 2026 by First American. Information from this page may be used with proper attribution.

About First American Data & Analytics

First American Data & Analytics, a division of First American Financial Corporation, is a national provider of property-centric information, risk management and valuation solutions. First American maintains and curates the industry’s largest public records property and ownership dataset that includes more than 8.6 billion document images. Its major platforms and products include: DataTree^® property data, FraudGuard^® risk solution, RegsData^® compliance suite, Procision™ AVM, and TaxSource™ property tax reporting. Find out more about how First American Data & Analytics powers the real estate, mortgage and title settlement services industries with advanced risk intelligence solutions at www.FirstAmDNA.com.

About First American

First American Financial Corporation (NYSE: FAF) is a premier provider of title, settlement, and risk solutions for real estate transactions. With its combination of financial strength and stability built over more than 135 years, innovative proprietary technologies, and unmatched data assets, the company is leading the digital transformation of its industry. First American also provides data products to the title industry and other third parties; valuation products and services; mortgage subservicing; home warranty products; banking, trust and wealth management services; and other related products and services. With total revenue of $7.5 billion in 2025, the company offers its products and services directly and through its agents throughout the United States and abroad. In 2026, First American was named one of the 100 Best Companies to Work For by Great Place to Work^® and Fortune Magazine for the eleventh consecutive year. More information about the company can be found at www.firstam.com.