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- Home prices increased 0.3% month over month on a seasonally adjusted basis. Costs rose 2.5% on a year-over-year basis– the fastest development rate in six months.
- On a regional level, costs rose in 29 major metros month over month, with the biggest boosts in Cleveland, Providence and New York.
- This is based upon the Redfin Home Cost Index (RHPI), a repeat-sales measure of seasonally adjusted home-price modifications that is reported about a month previously than the Case-Shiller Index.
U.S. home rates increased 0.3% month over month in Might on a seasonally adjusted basis, the fastest growth rate since January.
Rates rose 2.5% from a year previously, the fastest year-over-year development in six months.
This is according to the Redfin Home Price Index (RHPI), which uses the repeat-sales prices approach to compute seasonally adjusted changes in single-family home prices. The RHPI determines how sale prices of homes have changed since their previous sale– comparable to the S&P Cotality Case-Shiller Home Cost Indices– however is reported about a month previously. Might information covers the 3 months ending May 31, 2026. Check out the full RHPI approach here.
Home-price growth got steam in May because that month’s rates reflected deals that went under contract in April, when homebuying demand reinforced as home loan rates declined. Closed U.S. home sales struck their greatest level given that 2022 in Might, and while inventory is also ticking up, there still aren’t sufficient preferable, budget friendly homes on the market.
Keep in mind that pending sales– a more current gauge of the market– have actually considering that flattened, largely due to the fact that mortgage rates increased throughout Might. But because brand-new listings are likewise flattening, home costs might continue to rise at their current speed.
“Buyers got an increase from lower mortgage rates in the spring, and that momentum is appearing in costs,” stated Sheharyar Bokhari, a senior financial expert at Redfin. “And although there are a lot more home sellers than buyers in the market, the most preferable homes are still bring in several deals, increasing rates. Buyers who are awaiting prices to fall might not get much relief; rather, they may consider expanding their search area or working out for concessions– like mortgage-rate buydowns or closing-cost credits– from sellers.”
Home Costs Are Increasing in Many Significant Metros, Led by Ohio and the Northeast
Home costs rose in 29 major U.S. metros month over month on a seasonally adjusted basis in Might. Redfin analyzed the 50 most populous U.S. city locations and included the 49 with sufficient information.
The greatest uptick was in Cleveland, where home prices rose 2.5% month over month. It’s followed by Providence, RI (1.8%), New York City (1.8%), Miami (1.5%) and Columbus, OH (1.3%). Providence is among simply 7 seller’s markets in the U.S., and Cleveland and New York are well balanced markets; buyers are more likely to bid up costs in those places than in the 35 purchaser’s markets.
Rates decreased in 19 of the cities in this analysis, with the biggest drop in Riverside, CA (-1.9%). It’s followed by San Jose, CA (-1.7%), San Francisco (-1.3%), Phoenix (-1%) and Denver (-0.7%).
While San Francisco prices fell month over month, they’re skyrocketing on a year-over-year basis, largely since of the AI boom. San Francisco home prices rose 11.7% year over year, the greatest boost in the U.S. It’s followed by Chicago (10.7%), Newark, NJ (10.2%), Milwaukee (9.8%) and Nassau County, NY (9.8%).
The biggest year-over-year declines were in Austin, TX (-3.8%), San Antonio (-2.4%), Dallas (-2.2%), Jacksonville, FL (-2.1%) and Orlando, FL (-2%).
| Metro-Level Summary: Redfin Home Rate Index, May 2026 | ||
| U.S. metro location | Month-over-month modification, seasonally changed | Year-over-year change |
| Anaheim, CA | 0.3% | 3.9% |
| Atlanta, GA | -0.1% | -1.3% |
| Austin, TX | 0.9% | -3.8% |
| Baltimore, MD | -0.1% | 3.6% |
| Boston, MA | -0.1% | 2.2% |
| Charlotte, NC | -0.6% | 4.4% |
| Chicago, IL | 0.5% | 10.7% |
| Cincinnati, OH | 1.0% | 5.1% |
| Cleveland, OH | 2.5% | 9.2% |
| Columbus, OH | 1.3% | 3.7% |
| Dallas, TX | 0.3% | -2.2% |
| Denver, CO | -0.7% | 1.1% |
| Detroit, MI | 0.9% | 6.9% |
| Fort Worth, TX | 0.3% | -0.7% |
| Houston, TX | -0.3% | -1.5% |
| Indianapolis, IN | 0.4% | 1.0% |
| Jacksonville, FL | 0.6% | -2.1% |
| Kansas City, MO | 0.3% | 2.3% |
| Las Vegas, NV | -0.2% | 0.4% |
| Los Angeles, CA | 0.5% | 2.4% |
| Miami, FL | 1.5% | 4.3% |
| Milwaukee, WI | 1.0% | 9.8% |
| Minneapolis, MN | 0.7% | 3.5% |
| Montgomery County, PA | 0.4% | 9.8% |
| Nashville, TN | 0.0% | 0.4% |
| Nassau County, NY | 1.2% | 9.8% |
| Brand-new Brunswick, NJ | 0.7% | 4.4% |
| New York, NY | 1.8% | 7.7% |
| Newark, NJ | 1.2% | 10.2% |
| Oakland, CA | -0.6% | -0.8% |
| Orlando, FL | -0.1% | -2.0% |
| Philadelphia, PA | 0.6% | 8.1% |
| Phoenix, AZ | -1.0% | -1.7% |
| Pittsburgh, PA | -0.5% | 4.5% |
| Portland, OR | -0.6% | -0.1% |
| Providence, RI | 1.8% | 4.9% |
| Riverside, CA | -1.9% | 0.1% |
| Sacramento, CA | 0.2% | 0.1% |
| San Antonio, TX | 0.0% | -2.4% |
| San Diego, CA | 0.2% | 0.9% |
| San Francisco, CA | -1.3% | 11.7% |
| San Jose, CA | -1.7% | 1.5% |
| Seattle, WA | -0.7% | -0.1% |
| St. Louis, MO | -0.5% | 3.5% |
| Tampa, FL | 0.2% | 3.0% |
| Virginia Beach, VA | -0.1% | 4.6% |
| Warren, MI | -0.3% | 3.8% |
| Washington, DC | 0.5% | 3.0% |
| West Palm Beach, FL | 0.4% | 4.5% |