Sun Belt Home Inventory Surges as Buyers Migrate to the Rust Belt
JN
Juniper North
Fed interest rate decision · Apr 11, 2026
Source: The Digital Ledger Data Terminal
Home prices in 28 of the 53 largest U.S. metros declined through February, according to the American Enterprise Institute (AEI) Housing Center. Cape Coral, Florida, recorded a 9.6% decrease. This shift follows a pandemic-era surge where Federal Reserve interest rate cuts lowered mortgage rates and pushed annual price increases to 18% by early 2022. In the Sun Belt, Austin prices rose from $297,000 to $593,000, Dallas from $264,000 to $432,000, and Phoenix from $293,000 to $470,000. Miami rose from $350,000 to $450,000 and Las Vegas from $308,000 to $448,000 between the fourth quarter of 2019 and the second quarter of 2022.
Elevated mortgage rates have created an affordability crisis for buyers, pushing inventory levels in Miami, Austin, and Houston to approach or exceed eight months. As buyers seek affordability in Midwestern cities, Kansas City home prices increased 8.6%. Pittsburgh and Cleveland also reported growth. Rust Belt cities experience revitalization.
Fed interest rate decisionhome price index
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