How Fast Have Home Prices Grown Since the COVID-19 Recession?

Home price growth after the COVID-19 recession was unprecedented but is now regressing to historical norms

Source: Construction Coverage analysis of U.S. Department of Housing and Urban Development data | Image Credit: Construction Coverage

Recent home price increases, though intensified by the unique circumstances of the COVID-19 pandemic, reflect a broader trend of above-average growth following economic recessions. Historically, U.S. housing markets have rebounded strongly after downturns, with median prices rising by an average of 33.6% over five years (20 quarters). Following the brief 2020 recession, home prices surged by an unprecedented 40% within just over two years but have since stabilized. By the second quarter of 2025—20 quarters after the recession officially ended—cumulative growth stands at 31.2%, closely mirroring historical patterns observed over similar recovery periods.

Despite recent declines in sale prices, homebuyers still haven’t experienced much in the way of financial relief. Persistent inflation continues to erode purchasing power and drive up home prices; concurrently, mortgage rates above 6% have kept monthly mortgage payments near record highs.

As featured on

Cities With the Largest Increase in Home Prices Over the Last Decade
Cities With the Largest Increase in Home Prices Over the Last Decade
The last decade of rapid home price growth has severely worsened housing affordability across the U.S. A new analysis from Construction Coverage found that U.S. home values surged more than 81% between 2016 and 2026, dramatically outpacing wage growth (+47%) and reshaping housing affordability nationwide. The study analyzes Zillow and Census Bureau data to identify the states and cities with the largest increases in home prices over the last decade. 1 min