M
edian home prices rose in nearly half of US Opportunity Zones in the first quarter of 2025, reflecting continued housing market momentum. According to ATTOM's latest report, 48% of the 3,120 zones analyzed saw quarterly gains in single-family home and condo prices compared to Q4 2024. This occurred while the national median home price remained steady at $355,000.

    On a year-over-year basis, 59% of Opportunity Zones posted price increases, mirroring broader market trends despite their lower-income demographics. "Home-value patterns inside Opportunity Zones remain in lock-step with the rest of the country," said ATTOM CEO Rob Barber. "We continue to see steady price appreciation driven by tight inventory and increased buyer interest."

    Key findings from the report include:

    * Nearly 60% of Opportunity Zones recorded year-over-year price increases, outperforming similar areas outside the zones.

    * Despite gains, 80% of Opportunity Zones still had median home prices below $355,000, with nearly half below $200,000.

    * Volatility remains high, with 75% of zones experiencing price swings of at least 5% between Q4 2024 and Q1 2025.

    Geographic disparities were also evident, with the Midwest hosting the greatest share of lower-priced zones. Indiana, New York, Missouri, Colorado, and New Jersey led the nation in Opportunity Zones showing annual price increases, ranging from 65% to 75%. However, only 47% of zones where homes typically sold for under $125,000 saw annual gains, suggesting persistent weakness at the very bottom of the housing market.

    Opportunity Zones, created under the Tax Cuts and Jobs Act, are designated census tracts aimed at revitalizing economically challenged areas through tax incentives. Barber emphasized the continued potential for long-term transformation: "The home-buyer money flowing into these communities shows enduring potential for them to turn around."