US Home Prices Climb 0.6% Month-Over-Month in February, Returning to Pre-Pandemic Average

On Tuesday, Redfin released the results of its latest Redfin Home Price Index (RPHI), which showed that US home prices climbed 0.6% month-over month in February, on par with the 0.6% average monthly gain in the roughly eight years leading up to the pandemic. Prices seesawed during the pandemic, rising by as much as 2% month-over-month in January 2022 and falling by as much as 0.2% in August 2022.

Redfin notes that the RHPI uses the repeat-sales pricing method to calculate seasonally adjusted changes in prices of single-family homes. The latest report covers a three-month period ending February 29th.

Redfin explained that the story is similar when looking at year-over-year changes. US home prices climbed 6.7% from February 2023 to February 2024—similar to the 6.9% average annual gain in the years leading up to the pandemic. By comparison, prices rose by as much as 22.9% year-over-year in March 2022 and by as little as 3.4% in June 2023.