July 2025 Home Prices Show Gains in Some Cities While Others Face Declines

Lisa Mailhot  |  September 30, 2025

Buyers

July 2025 Home Prices Show Gains in Some Cities While Others Face Declines

Disclaimer: Some content in this article includes direct quotes and references from publicly available sources. Full credit is given to the original author and publisher. This blog post is for informational purposes only and does not claim ownership of any third-party content.

 

According to the S&P CoreLogic Case-Shiller Index, “the value of single-family homes in the U.S. as measured by repeat transactions rose 1.7% in July compared to a year earlier.” This marks a slowdown from June’s 1.9% increase and represents the lowest annual gain since 2023.

What does this mean? National home values are growing, but the pace has slowed, and after accounting for inflation, many homeowners are actually seeing real wealth decline.

Cities Facing Declines in Home Values

Among the 20 major metros tracked by Case-Shiller, “home values continued to fall on an annual basis in seven: Tampa, San Francisco, Miami, Dallas, Phoenix, San Diego, and Denver.” These markets were once booming during the pandemic era, but affordability pressures and high inventories are driving prices downward.

Meanwhile, New York, Chicago, and Cleveland are leading growth, with annual gains of 6.4%, 6.2%, and 4.5%, respectively.

Inflation Outpaces Housing Gains

The S&P CoreLogic Case-Shiller Index revealed that home price growth is no longer keeping up with inflation. In July, values increased 1.7% year over year, but inflation during the same period ran at 2.7%. This gap means that while homeowners may have seen modest nominal gains, the real value of their housing wealth has actually declined. In fact, July marked the third straight month where inflation outpaced price growth, underscoring how quickly the market has shifted from the rapid equity gains of the pandemic era to a period of shrinking real returns.

 

Regional Trends Show Sharp Divide Across the U.S.

The Case-Shiller report pointed to a growing split in housing markets. Sun Belt metros in the South and West are cooling quickly as higher inventories and stretched affordability weigh on demand. In contrast, the Midwest and Northeast are now driving national price growth, supported by stronger affordability and stable local economies. Cities such as San Francisco and Phoenix are experiencing corrections, while more budget-friendly markets like Cleveland and Chicago are emerging as leaders in year-over-year gains.

Bottomline

For Orange County buyers and sellers, these trends matter. While some markets across the South and West are softening, demand in desirable areas like Orange County remains steady, though influenced by national slowdowns. If you’re considering buying or selling here, now is the time to align with an experienced real estate partner who can help you navigate the changing market. At Whitestone Real Estate, I specialize in guiding clients through every stage of the journey—whether you’re building wealth through property, finding your dream home, or preparing to sell strategically. Let’s connect today and make your next move with confidence.

 

 

Reference: Griffith, K. (2025, September 30). Home values rise slightly in July nationwide but drop in these 7 major cities. Realtor.com.

RECENT BLOG POSTS

Buyers Gain the Upper Hand as Homes Stay on the Market

Homebuyers across the U.S.—and right here in Orange County—are scoring the biggest fall discounts since 2019. With homes spending more time on the market and sellers g… Read more

Rebound or Roadblock? What Rising Homebuilder Sentiment Means for the Housing Market

Homebuilder confidence is ticking upward as the Federal Reserve’s recent rate cuts offer a glimmer of hope for the housing market. Despite lingering challenges like ma… Read more

How New Lumber Costs Could Shape Orange County’s Housing Market

President Trump’s new tariffs on imported lumber, cabinets, and furniture are expected to raise homebuilding and renovation costs nationwide. This blog explores how th… Read more

More Home Sellers Are Testing the Market — But Are Orange County Buyers Still Holding Back?

Across the U.S., new listings are on the rise, yet many buyers remain cautious as mortgage rates hover above 6%. In Orange County, this national slowdown echoes local … Read more

Why More Homebuyers Are Walking Away in 2025

Home-purchase cancellations hit a record high this August, revealing a shift in buyer confidence and seller expectations. From inspection issues to changing financial … Read more

Mortgage Applications Dip as Interest Rates Rise Again

Mortgage applications in the U.S. dropped last week after interest rates increased for the first time in a month. According to the Mortgage Bankers Association (MBA), … Read more

July 2025 Home Prices Show Gains in Some Cities While Others Face Declines

National home values edged up slightly in July 2025, but the latest Case-Shiller report shows key Southern and Western metros experiencing price declines. While the No… Read more

Housing Costs Forcing Families Into Life-Changing Decisions

Housing costs continue to climb, leaving many Americans struggling to keep up. A new survey reveals that families are making tough sacrifices—from moving in with paren… Read more

A Record Breaking Buyer’s Market Is Creating New Opportunities

Summer 2025 marked the strongest buyer’s market in over a decade, with significantly more sellers than buyers across the U.S. While mortgage rates have dipped, afforda… Read more

We are excited to assist you in finding your perfect home

Let's find a time that suits you best to chat about your goals, show you how we work, and figure out how we can help you the most