The U.S. Housing Market Hotness Index slipped again this week, falling to 84.17 for the week ending February 8, 2026, down from 84.44 the prior week. While the decline is modest, it reinforces a broader theme: the housing market is struggling to regain meaningful momentum. The 30-year fixed rate is roughly 80 basis points lower than a year ago, which, under normal circumstances, would be expected to stimulate demand. But this time, lower rates have not translated into a stronger market. The reason is simple: rates may be lower, but they are not low enough to offset the cumulative rise in home prices over the past several years. At the same time, softness in the labor market is weighing on consumer confidence. Further, recent government proposals aimed at boosting housing activity are unlikely to move the needle in a meaningful way.
However, some markets are still seeing brisk activity. Monroe and Erie Counties in New York, Santa Clara and San Mateo Counties in California, and Essex County in Massachusetts remain among the hotter areas in the country. In contrast, parts of Florida and Texas remain on the cooler end of the spectrum, joined by the District of Columbia and Honolulu County in Hawaii, where activity has been more subdued.
*Index values are subject to revision as deemed necessary, contingent upon the receipt of new or updated data.
