The following is a recent article from Forbes Advisor about median home prices across the United States. Surprising to me how expensive Washington D.C. according to the list. Also unusual is the fact that condos are more expensive than homes in West Virginia and Iowa. Kiah Treece, the author, is from the East Coast. She states that California’s high housing costs stem from strict zoning requirements, high development fees, and lengthy permitting processes. All very true, but I’d also give some credit to the weather. (Excellent article, counselor.)
A couple of points from my statistics class at the University of Indiana many years ago: there are three ways to discuss averages.
- Median price is the middles price of all the houses in the area.
- Mode price is the price that appears most often on the list.
- Mean price is the arithmetic average (the sum of all home prices divided by number of homes). This figure is normally much higher because expensive homes skew the calculation upward.
As you all know, the median price is the figure used in nearly all news articles about home prices.
Treece also mentions three major forces shaping the housing market in 2025: mortgage rates, inflation, and macroeconomics. So back to my Econ class at UCLA grad school for a quick refresher: macroeconomics is the branch of economics that studies the performance, structure, behavior, and decision-making of an economy as a whole—a big picture view. Less than three months to go in 2025. Time to finish strong. Run through the finish line. Keep shining
“Median Home Prices By State In 2025”By Kiah Treece, Contributor – Forbes Advisor
Median home prices can help home buyers understand typical home costs in their geographic area. The metric indicates that half of the homes in a specific country, state or even ZIP code sold for more than that price, and half sold for less. Combined with mortgage rates and other factors, median home prices by state provide valuable insight into home affordability and can make it easier to choose a location that fits your budget.
We reviewed real estate company Redfin’s monthly housing data for single-family homes to identify the lowest and highest median home prices in the country. Whether you’re shopping for a home locally or planning a move, we’ll show you what to expect in each state, plus some tips for saving money when you buy a house. 👉 Read the full article on Forbes Advisor
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