Though home prices in the U.S. keep growing, the pace of growth has slowed considerably, according to an analysis released Tuesday by First American Data & Analytics.

First American’s non-seasonally adjusted Home Price Index (HPI) rose 0.4% month over month in April. The HPI is up 2% since April 2024 and is 57.2% higher than February 2020, before the pandemic-era housing boom. However, April’s growth rate is lower than March’s pace of a 0.7% monthly increase in home prices.

“House prices nationally reached another record high in April, but the annual growth rate has slowed to its lowest level since 2012, underscoring the ongoing rebalancing in the market,” said Mark Fleming, chief economist at First American, in a statement. “Persistently high mortgage rates have tempered demand, while increased inventory has boosted supply, dragging house price appreciation down.”

The First American analysis also looked at price growth in lower-priced starter homes, finding that cities in the Northeast and Midwest had the biggest percentage gains in that category.

Fleming noted that markets such as Pittsburgh, Baltimore and St. Louis are “attractive to potential first-time homebuyers due to their relative affordability.” However, he also observed that “homebuilding has also lagged in these markets, leading to high demand relative to limited supply, fueling strong house price appreciation.”

Pittsburgh had the largest year-over-year increase in starter home prices in April at 7.6%. Baltimore had 5.7% price appreciation, while starter homes in St. Louis saw prices increase 4.9% compared to April 2024.