The 5 markets hit hardest by housing shrinkflation, with buyers paying up for smaller homes

• Homebuyers are paying more for smaller homes, per Realtor.com data.
• The median US home size has shrunk by 128 square feet over the last five years.

The housing market hasn't been spared from shrinkflation, the unfortunate phenomenon of paying more for less.

Similar to other items purchased by US consumers in recent years, homes are rising in price while shrinking in square footage.

The median-sizes US home has shrunk from 1,996 square feet to 1,868 square feet in the last five years, according to Realtor.com data. Yet, the median price for a US home has climbed to $429,990 as of August, up 36% from August five years ago, when the median price of a home stood at $315,791.

Home prices have climbed largely due to a demand outpacing the supply of homes for sale. Active listings surged 36% last month, but home prices are expected to remain elevated in the near term as easing mortgage rates bring buyers back to market and stoke fresh demand.

"The specifics will vary from market to market, but the data suggest ongoing opportunity for many sellers," Danielle Hale, Realtor.com's chief economist, said in a June note, referring to the rising price-per-square foot of homes for sale. "Though with mortgage rates still much higher than many existing homeowners enjoy, this opportunity favors sellers who don't have to replace a mortgage, such as investors or second homeowners looking for an exit, or equity-rich homeowners looking to downsize in their current area or to a lower-cost region, as well as those planning to rent their next home."

Here are the five housing markets in the US seeing the worst case of housing shrinkage coupled with rising prices, according to data from the real estate listings site:

1. Colorado Springs, CO

Median square footage: 2,351 (-21.19% from 2019)

Median price: $525,000 (+25.3%)

Price per square foot: $223.30

2. Charlotte–Concord–Gastonia, NC–SC

Median square footage: 2,031 (-20.26% from 2019)

Median price: $441,170 (+23.06)

Price per square foot: $217.21

3. New York–Newark–Jersey City, NY–NY–PA

Median square footage: 1,556 (-19.38%)

Median price: $789,000 (+34.87%)

Price per square foot: $507.06

4. Urban Honolulu, Hawaii

Median square footage: 1,010 (-18.81%)

Median price: $725,000 (+3.79%)

Price per square foot: $717.82

5. Hickory—Lenoir—Morganton, NC

Median square footage: 1,920 (-17.67%)

Median price: $375,420 (+25.56%)

Price per square foot: $195.53