Within the fourth quarter of 2025, the median worth for a brand new single-family dwelling was $405,300, which was $9,600 decrease than the median worth of an current dwelling, which stood at $414,900. This marks the third consecutive quarter for which current dwelling costs have exceeded new properties costs, in response to U.S. Census Bureau and Nationwide Affiliation of Realtors information (not seasonally adjusted – NSA)
Usually, new properties carry a worth premium over current properties. From 2010 to 2019, this sample held regular, with a mean distinction of $66,000. Nevertheless, over the previous 5 years (2020-2025), the hole has narrowed considerably, averaging simply $23,300. Notably, starting within the second quarter of 2024, this relationship reversed, with current dwelling costs exceeding new dwelling costs in 5 of the previous seven quarters.
Each new and current properties noticed dramatic will increase in costs post-pandemic on account of greater building prices and restricted provide. Whereas total dwelling costs stay elevated in comparison with historic norms, new properties costs have moderated on account of tactical builder enterprise choices, whereas current properties costs proceed to extend due to lean provide and in some markets an absence of worth discovery for current owners.
Certainly, the median worth for a brand new single-family dwelling offered within the fourth quarter of 2025 decreased by 3.34% from the earlier yr. New dwelling worth annual development has been trending downwards for the final two years.
In the meantime, the median worth for current single-family properties elevated 1.25% from one yr in the past. Current dwelling costs have continued to expertise year-over-year will increase for ten consecutive quarters.
There are a number of elements as to why new and current properties are promoting at related worth factors. Tight stock continues to push up costs for current properties, as many householders who secured low mortgage charges throughout the pandemic are hesitant to promote on account of present excessive rates of interest.
In the meantime, new dwelling pricing is extra unstable – costs change because of the sorts and areas of properties being constructed. Regardless of varied challenges going through the trade, dwelling builders are adapting to affordability challenges by constructing on smaller heaps, developing smaller properties, and providing incentives. Moreover, there was a shift in dwelling constructing towards the South, related to inexpensive properties due to coverage results. This has occurred in an surroundings wherein building prices proceed to rise, which is the elemental driver of dwelling costs.
The least costly area for brand new properties within the fourth quarter was the South, with a median worth of $366,100. The Midwest adopted intently behind at $377,900. For current properties, the Midwest was probably the most affordably area at $317,200, adopted by the South at $367,200.
New properties had been most costly in the Northeast with a median worth of $799,000, whereas the West offered at $557,100. For current properties, the West led because the most costly area at $623,800 properties, adopted by Northeast at $515,900.
The brand new dwelling worth premium was most pronounced within the Northeast, the place new properties offered for $283,100 greater than current properties. Moreover, within the Midwest properties new properties offered for $60,700 greater than current properties. The West and South adopted the nationwide development, with current properties priced $66,700 greater than new properties within the West and $1,100 extra within the South.
