US Cities See Sharp Home Price Gains Amid Shrinking Inventory

Home prices across many U.S. cities have surged in early 2025, with Syracuse, New York, experiencing the highest annual increase at 18%, followed by Montgomery, Alabama, and Youngstown, Ohio. This rise is largely attributed to shrinking housing inventory, such as Syracuse's drop from 1,500 homes on the market in 2019 to just 560 in 2025, creating intense buyer competition. Long Island's median home price rose nearly 96% over the past decade, reaching $705,000 in early 2025, while the housing supply remains critically low, with one-quarter the number of homes available compared to 2015. The shortage of homes is impacting affordability and demographic trends, as experts warn it could hinder economic success by limiting housing for working-age populations. Concurrently, consumer prices on Long Island increased 3.9% year-over-year in April 2025, driven by rising food and rent costs, though this was partially offset by a significant drop in gasoline prices. Many residents continue to adjust spending to cope with inflation and housing challenges, reflecting broader economic pressures in the region.