The U.S. Housing Market Hotness Index slipped to 91.94 for the week ending October 12, 2025, down from 92.24 the previous week, signaling continued softness in housing activity. The market remains subdued as the labor market loses momentum, with job growth slowing and unemployment gradually rising. Although mortgage rates have eased slightly, they remain too high for many potential buyers to re-enter the market. At the same time, some existing homeowners are showing signs of financial strain with foreclosure filings in Q3 2025 17% higher year-over-year, according to recent data. The ongoing government shutdown has also added uncertainty, weighing further on buyer confidence and housing transactions.
The strongest housing markets during the week were Monroe County and Erie County in New York, San Francisco County, California, Kent County, Michigan, and Norfolk County, Massachusetts. Meanwhile, Travis, Bexar, and Collin Counties in Texas, Broward County, Florida, and Honolulu County, Hawaii ranked among the coolest markets, reflecting weaker buyer demand and slower sales activity.
*Index values are subject to revision as deemed necessary, contingent upon the receipt of new or updated data.
