According to the latest home price index report from the real estate brokerage Redfin, the seasonally adjusted price for single-family homes in the United States increased by 0.3% month-over-month in June. This matches the gain seen in May, tying for the largest monthly increase since January of this year. On a year-over-year basis, prices rose by 3% in June, representing the fastest annual growth rate in nearly ten months.

Redfin noted that despite mortgage rates remaining elevated and economic uncertainty stemming from geopolitical conflicts such as the war in Iran, homebuying demand showed some recovery at the start of the summer. Nationally, pending home sales edged up 0.5% month-over-month in June, reaching their second-highest level since 2023. However, a shortage of affordable, move-in ready properties on the market has pushed home prices to record highs.

Looking at major metropolitan areas, among the 50 metro areas included in the statistics (with complete data for 49), 30 regions saw month-over-month price increases in June. Cities leading the gains included Columbus, Ohio (+1.2%), Miami, Florida (+1.1%), Cincinnati, Ohio (+1.0%), and Kansas City, Missouri (+1.0%). Concurrently, 19 metro areas experienced month-over-month price declines, with the largest drop in San Francisco (-1.0%), followed by Baltimore (-0.8%), San Antonio (-0.4%), Denver (-0.4%), and Phoenix (-0.4%).

Although San Francisco's prices fell month-over-month, driven by the boom in the artificial intelligence sector, its year-over-year price increase was a substantial 10.8%, the highest in the nation. Following closely were Nassau County, New York (+10.1%), Chicago (+9.9%), Cleveland (+9.3%), and Milwaukee (+8.8%). The report stated that affluent buyers, less impacted by high interest rates and economic uncertainty, have been a significant force driving price growth.