Key Takeaways
- Realtor.com reports that U.S. median home prices fell for a seventh consecutive month, with January asking prices averaging $400,500.
- But what hurt home buyers in January was higher 30-year mortgage rates. Last month’s average rate was 6.97% vs. a lower 6.78% in December.
- Assuming a 20% down payment, that bumps the national average mortgage payment to $2,125 in January—up $30 from last month.
- California continues to dominate the most expensive metros, with the San Jose market having an average monthly payment of $6,685 in January. Meanwhile, the Pittsburgh area has the cheapest average payment at $1,219.
- Six of the 50 largest metros did see their average payment fall in January, but only three saw a dip of $10 or more. Those areas were Indianapolis, Detroit, and Columbus, Ohio.
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Median Home Prices Dipped, But Mortgage Rates Rose
Median home prices in America fell for a seventh consecutive month in January. According to Realtor.com’s latest monthly report on the U.S. home buying market, January’s median home price was $400,500. That’s down $2,002 from December and is more than $44,000 lower than the June median of $445,000.
Despite easing housing prices, though, elevated mortgage rates continue to strain affordability for home buyers. According to Zillow rate quotes for new purchase mortgages, the average 30-year rate in January was 6.97%. That’s up from December’s 6.78% average rate.
Assuming a 20% down payment, the higher mortgage rates in January resulted in a national average monthly mortgage payment (principal and interest only) that was $30 more expensive than the typical December payment.
Monthly Payments Vary Widely Across the Country
Of course, home prices and mortgage rates vary by state and market, so mortgage payments for someone in Pittsburgh will be wildly different than for someone buying in the Bay Area. Here are some key January findings from our analysis of the 50 largest metros:
- The four most expensive markets were all in California, with the San Jose area topping the list at a $6,685 average monthly payment.
- The highest-cost metro outside of California was Boston, at $4,242 per month, followed by New York at $3,899 and Seattle at $3,847.
- Pittsburgh once again earns “most affordable” honors, with the average mortgage payment coming in at just $1,219 in January. Greater Cleveland is close behind at $1,248.
- Six of the 50 largest metros saw their average payment fall in January, but for three of those, the dip was a negligible $1–$4. In the Indianapolis, Detroit, and Columbus markets, however, the monthly payment dropped more notably, declining $10–$26.
To compare all 50 metropolitan areas, we’ve listed the median home prices, average January mortgage rate, and typical monthly payments below, organized by region.
The Northeast
| Metro Area | Median Home Price (Jan 2025) | Average 30-Year Mortgage Rate (Jan 2025) | January Monthly Payment With 20% Down | Change vs. Dec 2024 |
|---|---|---|---|---|
| Boston-Cambridge-Newton, Mass.-N.H. | $799,450 | 6.97% | $4,242 | $65 |
| New York-Newark-Jersey City, N.Y.-N.J. | $750,000 | 6.77% | $3,899 | $71 |
| Washington-Arlington-Alexandria, DC-Va.-Md.-W. Va. | $577,000 | 7.02% | $3,078 | $75 |
| Providence-Warwick, R.I.-Mass. | $521,175 | 7.01% | $2,776 | $25 |
| Hartford-West Hartford-East Hartford, Conn. | $408,375 | 6.98% | $2,170 | $85 |
| Philadelphia-Camden-Wilmington, Pa.-N.J.-Del.-Md. | $352,000 | 6.97% | $1,869 | $9 |
| Baltimore-Columbia-Towson, Md. | $349,900 | 7.00% | $1,862 | $36 |
| Buffalo-Cheektowaga, N.Y. | $252,450 | 6.77% | $1,312 | $35 |
| Pittsburgh, Pa. | $229,700 | 6.97% | $1,219 | -$1 |
The South
| Metro Area | Median Home Price (Jan 2025) | Average 30-Year Mortgage Rate (Jan 2025) | January Monthly Payment With 20% Down | Change vs. Dec 2024 |
|---|---|---|---|---|
| Nashville-Davidson-Murfreesboro-Franklin, Tenn. | $525,000 | 6.97% | $2,786 | -$4 |
| Miami-Fort Lauderdale-West Palm Beach, Fla. | $520,000 | 6.92% | $2,744 | $41 |
| Austin-Round Rock-San Marcos, Texas | $494,667 | 6.95% | $2,620 | $35 |
| Raleigh-Cary, N.C. | $440,000 | 6.96% | $2,331 | $24 |
| Richmond, Va. | $421,225 | 6.99% | $2,239 | $52 |
| Charlotte-Concord-Gastonia, N.C.-S.C. | $420,000 | 6.96% | $2,225 | $32 |
| Orlando-Kissimmee-Sanford, Fla. | $419,900 | 6.92% | $2,216 | $43 |
| Dallas-Fort Worth-Arlington, Texas | $415,500 | 6.95% | $2,201 | $10 |
| Atlanta-Sandy Springs-Alpharetta, Ga. | $399,000 | 6.97% | $2,117 | $39 |
| Tampa-St. Petersburg-Clearwater, Fla. | $396,973 | 6.92% | $2,095 | $51 |
| Virginia Beach-Chesapeake-Norfolk, Va.-N.C. | $389,450 | 6.99% | $2,070 | $52 |
| Jacksonville, Fla. | $385,000 | 6.92% | $2,032 | $42 |
| Houston-Pasadena-The Woodlands, Texas | $359,000 | 6.95% | $1,901 | $28 |
| Memphis, Tenn.-Miss.-Ark. | $329,500 | 6.97% | $1,749 | $35 |
| San Antonio-New Braunfels, Texas | $325,000 | 6.95% | $1,721 | $11 |
| Oklahoma City, Okla. | $312,368 | 7.00% | $1,663 | $41 |
| Louisville/Jefferson County, Ky.-Ind. | $305,950 | 6.99% | $1,626 | $39 |
| Birmingham, Ala. | $284,925 | 6.99% | $1,515 | $6 |
The Midwest
| Metro Area | Median Home Price (Jan 2025) | Average 30-Year Mortgage Rate (Jan 2025) | January Monthly Payment With 20% Down | Change vs. Dec 2024 |
|---|---|---|---|---|
| Minneapolis-St. Paul-Bloomington, Minn.-Wis. | $425,000 | 6.99% | $2,260 | $52 |
| Kansas City, Mo.-Kan. | $374,950 | 7.00% | $1,995 | $68 |
| Grand Rapids-Wyoming-Kentwood, Mich. | $374,500 | 6.99% | $1,991 | $16 |
| Milwaukee-Waukesha, Wis. | $362,500 | 7.00% | $1,929 | $62 |
| Chicago-Naperville-Elgin, Ill.-Ind. | $343,498 | 6.98% | $1,825 | $12 |
| Columbus, Ohio | $340,725 | 6.98% | $1,811 | -$10 |
| Cincinnati, Ohio-Ky.-Ind. | $319,450 | 6.98% | $1,697 | $36 |
| Indianapolis-Carmel-Greenwood, Ind. | $300,000 | 6.99% | $1,595 | -$21 |
| St. Louis, Mo.-Ill. | $274,950 | 7.00% | $1,463 | $18 |
| Detroit-Warren-Dearborn, Mich. | $239,950 | 6.99% | $1,276 | -$26 |
| Cleveland, Ohio | $234,925 | 6.98% | $1,248 | -$2 |
The West
| Metro Area | Median Home Price (Jan 2025) | Average 30-Year Mortgage Rate (Jan 2025) | January Monthly Payment With 20% Down | Change vs. Dec 2024 |
|---|---|---|---|---|
| San Jose-Sunnyvale-Santa Clara, Calif. | $1,268,000 | 6.91% | $6,685 | $130 |
| Los Angeles-Long Beach-Anaheim, Calif. | $1,089,500 | 6.91% | $5,744 | $91 |
| San Diego-Chula Vista-Carlsbad, Calif. | $950,000 | 6.91% | $5,009 | $23 |
| San Francisco-Oakland-Fremont, Calif. | $882,000 | 6.91% | $4,650 | $54 |
| Seattle-Tacoma-Bellevue, Wash. | $725,813 | 6.96% | $3,847 | $85 |
| Sacramento-Roseville-Folsom, Calif. | $615,000 | 6.91% | $3,243 | $64 |
| Riverside-San Bernardino-Ontario, Calif. | $599,000 | 6.91% | $3,158 | $73 |
| Portland-Vancouver-Hillsboro, Ore.-Wash. | $598,725 | 6.95% | $3,170 | $68 |
| Denver-Aurora-Centennial, Colo. | $569,950 | 6.95% | $3,020 | $18 |
| Phoenix-Mesa-Chandler, Ariz. | $512,450 | 6.99% | $2,723 | $118 |
| Las Vegas-Henderson-North Las Vegas, Nev. | $467,500 | 7.00% | $2,488 | $41 |
| Tucson, Ariz. | $391,255 | 6.99% | $2,079 | $58 |
How We Track Mortgage Rates
The national and state averages cited above are provided as is via the Zillow Mortgage API, assuming a loan-to-value (LTV) ratio of 80% (i.e., a down payment of at least 20%) and an applicant credit score in the 680–739 range. The resulting rates represent what borrowers should expect when receiving quotes from lenders based on their qualifications, which may vary from advertised teaser rates. © Zillow, Inc., 2024. Use is subject to the Zillow Terms of Use.
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