The Housing Market Hotness Index remained virtually unchanged, edging up slightly to 88.29 for the week ending February 2, 2025, from 88.18 the previous week. This modest shift reflects the continued challenges facing both buyers and sellers in a market characterized by high mortgage rates. A cooling labor market, with slower job growth observed in January, further dampens buyer confidence. Uncertainty surrounding potential economic policies that could impact employment also contributes to a cautious approach among potential homebuyers.
Monroe and Erie Counties in New York, Fairfax County in Virginia, Essex County in Massachusetts, and Santa Clara County in California emerged as the top five counties with the highest market “hotness.”
*Index values are subject to revision as deemed necessary, contingent upon the receipt of new or updated data.
