CoStar Group Inc., through its Homes.com platform, has released a new report analyzing U.S. home price trends for August. The findings indicate that national home price growth remained subdued, with a modest 2.4% year-over-year increase, bringing the median home price to $389,000. This marks a slight rise from last August, yet remains below the June 2025 peak of $395,000. Throughout the first eight months of 2025, home prices have grown by only 3.5%, a significant slowdown compared to the 7% growth seen in the same period in 2024. Regional differences continue to be notable. The Midwest has experienced the highest price appreciation, with certain metropolitan areas showing gains of over 7%. In contrast, markets with an excess supply in the South and expensive areas in California have faced price declines. Among the 40 largest markets, 15 showed minimal growth or declines. At the state level, Florida and Texas saw price drops, while 11 states, mostly in the Midwest and Northeast, reported annual price growth above 5%. The housing market is shifting towards a buyer's market, with a cooling trend evident as homebuying demand remains soft and inventory levels normalize. The recent decline in mortgage rates, now at 6.29%, the lowest since October 2024, might provide some relief to potential buyers, potentially stimulating demand if rates continue to decrease and the labor market remains stable.