January home prices saw an unprecedented East Cost – West Coast divide, according to a recent Wall Street Journal article. Homes prices fell in all 12 major housing markets west of Texas fell in January on an annual basis. In contrast, home prices increased year over year in the biggest 37 metros East of Colorado. Notably, home prices in the Buffalo metro increased 8.3% from January 2022 to January 2023.

With inventories low and further rate increases seemingly more unlikely, we anticipate prices to remain elevated for the remainder of 2023.