National Year-over-Year (YoY) HPA in January was 6.4% and is projected to remain at 5-6% in February and March 2024

WASHINGTON, Feb. 26, 2024 (GLOBE NEWSWIRE) -- National constant-quality home prices in January 2024 were up 1.3% from a month ago and 6.4% from a year ago (preliminary and not seasonally adjusted), according to data from the American Enterprise Institute’s (AEI) Housing Center. The boost is largely due to the substantial rate decline in Dec. 2023 (when Jan. 2024 purchases locked in rates), along with buyers being well-qualified and highly motivated by a historically tight supply. HPA is projected to remain at 5-6% in February and March 2024.

January YoY HPA varied significantly among the 60 largest metros (see #1 in graphic). It ranged from -1.7% in Austin (-4.8% inflation-adjusted) to 13.1% in Indianapolis (+10.0% inflation-adjusted).

In January 2024, YoY HPA ranged from 9.0% in the Northeast to 4.5% in the West (see #2 in graphic). While the West was hit the hardest by the rising rates at the beginning of 2023 (-3.7% YoY HPA in April), its HPA has now recovered to 4.5% on a year-over-year basis.

Historically, the low price tier HPA has outpaced those in the upper price tiers. This trend continued in January, with the YoY HPA up 8.7% and 5.4% for the low price tier and high price tier, respectively.

Months’ supply stood at 4.1 months in January 2024, up from 3.8 months in December 2023 and 3.9 months in January 2020 (pre-pandemic) (See #3 in graphic). Low levels of supply continue to signal a strong seller’s market. The months’ supply for the low price tier came in at 2.6 months in January 2024, helping to explain the 8.7% YoY price growth for this tier.

The AEI Housing Center provides the most advanced and timely information on home prices available. Measures of home price appreciation like the Case Shiller index have months of lag. The Housing Center has published data for January 2024 and is able to accurately project February and March 2024 with Optimal Blue rate lock data as well.

National Home Price Appreciation (HPA) Index – January 2024

Media Contact Details:

Sissi Li
American Enterprise Institute Housing Center
Washington, DC

A photo accompanying this announcement is available at

January HPA Press Release Infographic v4