Home prices started to decrease at the end of 2022, but prices remain high—especially in Florida and North Carolina.
Key Details
- At the end of 2022, the median price for single-family homes saw a $19,400 drop, though prices were still high.
- In the 186 metro areas surveyed by the National Association of Realtors, 90% still had elevated prices. Southern regions, in particular, saw significant price increases.
- The top 15 areas with price increases were all in the South except for two. Six of these cities are in Florida.
- Though Florida and North Carolina have the most cities with price growth, Farmington, New Mexico, is the city with the greatest price growth. Its prices increased by over 20% last year.
Why it’s news
Home prices in the South are likely experiencing greater growth as more of the U.S. population heads southward.
Americans have been steadily heading southward in search of states with lower taxes for years, but the pandemic pushed the migration into overdrive. Residents with the option to work remotely have started taking advantage of the opportunity to move to warmer states with their preferred weather conditions. Additionally, the cost of living further south is lower than in the North.
If trends continue, the U.S. population center could be in the South by the end of the decade.
The southern U.S. outpaced other regions of the U.S. last year by more than 1.3 million people.
Southern population surge is partly due to births outpacing deaths in the region and increased domestic and international immigration to the area.
In comparison, the North and Midwest lost overall residents. The West grew by 153,000 people.
Six of the top 10 U.S. states with the most significant growth last year were southern states, including Texas, Florida, North Carolina, and Georgia.
Surprising statistics
Here are the top 15 metro areas where prices grew and their median prices …
Farmington, New Mexico $261,200
North Port-Sarasota-Bradenton, Florida $520,000
Naples-Immokalee-Marco Island, Florida $802,500
Greensboro-High Point, North Carolina $276,100
Myrtle Beach-Conway, South Carolina/North Carolina $373,500
Oshkosh-Neenah, Wisconsin $220,700
Winston-Salem, North Carolina $285,200
El Paso, Texas $244,500
Punta Gorda, Florida $392,800
Deltona-Daytona Beach-Ormond Beach, Florida $353,800
Fayetteville, North Carolina $220,900
Fayetteville-Springdale-Rogers, Arkansas/Missouri $323,500
Lakeland-Winter Haven, Florida $338,300
Fargo, North Dakota/Minnesota $285,900
Port St. Lucie, Florida $399,500