First American Financial Corp Reports September Home Price Trends: A Mixed Bag for Los Angeles-Long Beach-Glendale
Los Angeles, CA – October 16, 2025 – In its latest monthly report, First American Data & Analytics has revealed a 1.4% year-over-year decline in home prices for the Los Angeles-Long Beach-Glendale metropolitan area as part of its September 2025 Home Price Index (HPI). This report provides crucial insights into the current state of the housing market, reflecting broader national trends while highlighting regional variances.
1. Key Findings of the September 2025 HPI
The First American Data & Analytics HPI tracks home price fluctuations with a lag of less than four weeks, allowing for timely insights into market dynamics. Below are the key metrics from the report:
Los Angeles-Long Beach-Glendale Market Metrics
| Metric | Change in HPI |
|---|---|
| August 2025 - September 2025 (MoM) | +0.2% |
| September 2024 - September 2025 (YoY) | -1.4% |
National HPI Metrics
| Metric | Change in HPI |
|---|---|
| August 2025 - September 2025 (MoM) | -0.1% |
| September 2024 - September 2025 (YoY) | +1.1% |
These figures indicate that while the Los Angeles-Long Beach-Glendale market saw a slight monthly increase, it faced a significant year-over-year decline, contrasting with the national trend of overall price growth.
2. Insights from Chief Economist Mark Fleming
Mark Fleming, First American’s Chief Economist, provided an analysis of the current housing landscape. He noted, “Nationally, house prices are now 0.7 percent below their peak in May as demand adjusts to affordability constraints and inventory improves. For buyers, who are often first sellers, today’s market offers more choices and greater negotiating power, as annual price appreciation slows to its slowest pace since 2012.”
Price Tier Analysis for Los Angeles-Long Beach-Glendale
The HPI report also segmented home price changes into three distinct tiers: starter, mid-tier, and luxury. The year-over-year price changes for these tiers in the Los Angeles-Long Beach-Glendale area are as follows:
| Price Tier | Year-over-Year Change |
|---|---|
| Starter | -3.3% |
| Mid-Tier | -1.6% |
| Luxury | -1.5% |
Fleming emphasized that the decline in house prices across various tiers reflects a broader downward shift in momentum, with 19 of the 30 largest markets monitored experiencing year-over-year price reductions.
3. Regional Dynamics: A Tale of Two Markets
Despite the general decline in prices, the report indicated significant regional disparities. For instance, cities like Cincinnati have experienced robust price growth, with an 8.4% year-over-year increase in HPI, while areas such as Oakland, California, and Tampa, Florida, have faced substantial declines of 7.4% and 5.9%, respectively.
Noteworthy CBSAs with Year-Over-Year Changes
| Core-Based Statistical Areas (CBSAs) | Change in HPI |
|---|---|
| Cincinnati | +8.4% |
| New York | +5.1% |
| St. Louis | +2.4% |
| Oakland, CA | -7.4% |
| Tampa, FL | -5.9% |
4. Conclusion and Future Outlook
As the housing market continues to evolve, First American’s upcoming HPI release scheduled for the week of November 17, 2025, will be closely watched for further insights into ongoing trends. The current data indicates a market in transition, where buyers may gain the upper hand due to increased inventory and declining prices, particularly in high-demand urban areas.
As always, First American emphasizes the importance of understanding local market dynamics when interpreting these broader trends, and the data underscores the continuing complexities of the housing market landscape in the United States.
