The Housing Market Hotness Index rose to 93.29 for the week ending March 29, 2026, a marginal increase from the prior week. Even with that improvement, activity remains below levels seen at the same time last year, underscoring a market that is still struggling to regain momentum.
Affordability continues to be a central constraint, but it is no longer acting alone. Economic uncertainty is emerging as an additional headwind, particularly for first-time homebuyers. Recent labor market data points to signs of softening beneath the surface, while mortgage rates have moved higher. The average 30-year fixed rate climbed to 6.38%, a level not seen in more than six months, and adding pressure to already stretched buyer budgets. At the same time, home prices continue to rise nationally, though at a more modest pace than in prior years.
The impact is not uniform across the country. In California, Santa Clara, San Francisco, and San Mateo Counties remain among the most competitive housing markets, supported by strong local demand. Outside the West Coast, markets such as Monroe County, New York, and Kent County, Michigan are also showing relative strength. By contrast, parts of Florida and Texas continue to see softer conditions, alongside Davidson County, Tennessee, and Honolulu County, Hawaii, where demand has moderated. For now, the market is moving forward, but cautiously.
*Index values are subject to revision as deemed necessary, contingent upon the receipt of new or updated data.
