October Home Prices Grew Unseasonably Slow: What the Latest Data Means for Buyers, Sellers and Local Markets

Home prices across the United States grew just 1.3% in the 12 months ending October 2025, according to newly released data from Homes.com. That brings the national median home price to around $385,000, up only about $5,000 compared to the previous year. Prices remain below the June peak of $395,000, which marks a noticeable cooling trend heading into the fall season.

One of the most important insights from the report is the sharp increase in inventory. New listings jumped 10.1% year over year in October, marking the highest October volume since 2021. Despite this influx of supply, prices did not respond with upward pressure. This signals that buyer activity is still soft in many regions, likely influenced by affordability constraints and economic caution.

However, there is a shift in momentum. Mortgage rates have recently started to ease, and that’s beginning to affect purchasing power. Brad Case, Chief Residential Economist at Homes.com, said, “With home prices growing by just 1.3%, and mortgage rates declining from their recent peak, monthly payments are finally starting to feel more manageable. Buyers are also seeing more homes to choose from.”

Regionally, the contrast is clear. Out of the 40 largest metro areas tracked by Homes.com, only six recorded price growth above 5%, and all of those markets were located in the Midwest. In comparison, many cities across Florida, Texas, and California experienced outright price declines. Nearly one third of the 1,000 individual markets analyzed posted lower median prices than the year prior.

For buyers, this data points to new opportunities. Inventory is growing, prices are stabilizing, and monthly costs are becoming slightly more attainable. For sellers, the window for strong returns is still open, but expectations should be adjusted. Many homeowners continue to benefit from years of appreciation and hold meaningful equity, yet aggressive pricing may no longer be supported in slower markets.

The report suggests the national housing market is entering a more balanced phase. Buyers are gaining more leverage, sellers are recalibrating, and local market dynamics are becoming more important than ever. In areas like Raleigh, where demand remains healthy and migration trends support continued growth, these national patterns may look different on the ground.

Contact Auralia Residential 919.373.3037 to discuss your local market position and plan your next step with confidence.