A national gauge of prices was up 3.4% from a year earlier, according to data from S&P CoreLogic Case-Shiller. That was smaller than the 4% annual increase in February.

READ MORE: Mortgage rates keep rising, influenced by DC developments

The run-up in prices since the pandemic, and mortgage rates hovering near 7%, have squeezed affordability for house hunters, pushing many to the sidelines. At the same time, inventory is rising in many parts of the country. And with fewer eager buyers in the market, sellers are more willing to offer concessions.

In areas where supplies remain tight, buyers are still getting dragged into bidding wars. Among 20 major cities, New York had the biggest annual price gain in March, at 8%. Prices were up 6.5% in Chicago and 5.9% in Cleveland. In places where prices fell, Tampa, Florida, had the largest decline, at 2.2%.

While annual price growth continued to decelerate nationally, "the market experienced its strongest monthly gains so far in 2025," Nicholas Godec, head of fixed income tradables and commodities at S&P Dow Jones Indices, said in a statement. Eighteen of the 20 cities in the index had monthly increases before seasonal adjustment, signaling that price increases were widespread across the country.

"This divergence between slowing year-over-year appreciation and renewed spring momentum highlighted how the housing market shifted from mere resilience to a broader seasonal recovery," Godec said.