- Home prices in Atlanta-Sandy Springs-Alpharetta increased by 2.1% year-over-year in April 2025.
- National home price growth slowed to an annual rate of 2.0%, the lowest since 2012.
- Chief Economist Mark Fleming highlights the impact of high mortgage rates and increased inventory on price growth.
The latest Home Price Index (HPI) report by First American Data & Analytics indicates that the Atlanta-Sandy Springs-Alpharetta metro area experienced a 2.1% increase in home prices from April 2024 to April 2025. On a month-to-month basis, home prices in the region rose by 1.1% from March to April 2025.
At the national level, the data shows a continued deceleration in home price appreciation, with an annual growth rate of 2.0%, marking the slowest increase since 2012. According to Mark Fleming, Chief Economist at First American, the slowing price appreciation is attributed to persistently high mortgage rates which have tempered demand, while a rise in inventory has boosted supply.
Analyzing different price tiers in the Atlanta-Sandy Springs-Alpharetta area, the starter homes saw a 1.9% increase, mid-tier homes went up by 1.1%, and the luxury segment experienced a 2.6% rise. This segmented growth reveals varied demand dynamics across different segments of the market.
Regionally, Pittsburgh, Baltimore, and St. Louis showed the strongest growth in starter home price tiers, with Pittsburgh leading at a 7.6% increase, reflecting higher demand relative to supply in these more affordable markets. In contrast, areas like Oakland, Calif., and Tampa, Fla., experienced notable decreases in home prices at -7.6% and -4.8% respectively.
The data highlights the ongoing rebalancing in the housing market following unsustainable price growth seen during the pandemic, offering a potential silver lining for home buyers as slower appreciation aligns better with income growth.
First American Financial Corporation (FAF, Financial), known for its comprehensive property-centric information solutions, published this report. For more insights into their market analysis, visit their economic center.
