About Jason Steagall
2026 Housing Market Shows Signs of Positive Turn
January 5, 2026
Homebuyers are beginning to see modest relief as mortgage rates fall and home price growth slows, setting the stage for a more buyer-friendly market in 2026. The 30-year fixed mortgage rates have dipped from their highs from a year ago and experts say rates could dip below 6% in 2026—though a return to pandemic-era lows is unlikely. While sales activity is picking up and price growth has largely stalled, affordability remains a major challenge, especially for first-time buyers, whose median age has climbed to a record high of 40 years old.
Despite broader economic concerns, buyer activity is already increasing: pending home sales rose 3.3% month over month in November and 2.6% from a year earlier, marking the strongest performance in nearly three years. Realtor confidence is improving, with more than 20% expecting increased buyer traffic in the coming months.
2026 is set up to be a great year of continual home appreciation as buyer activity increases due to inventory growth and as mortgage rates slowly improve.
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