2026 Housing Market Outlook

After a few years where the housing market felt stuck, 2026 might finally bring a change of pace.
Experts are predicting more people will move — and that could open the door for you to make your move, too.

🔄 More Homes Will Sell

In the last few years, high mortgage rates and rising prices made a lot of would-be buyers and sellers hit pause.
But that pause won’t last forever — life keeps moving, and so do people.

According to experts, home sales are expected to rise in 2026, marking the start of a more active, balanced market.

📉 Mortgage Rates May Keep Easing

Let’s talk rates — the biggest thing everyone’s been watching.

After peaking near 7%, mortgage rates have started to dip. Forecasts show this downward trend could continue through 2026, but not in a straight line.

There’s a saying:

“When rates go up, they take the escalator. When they come down, they take the stairs.”

That means the drop will likely be slow and a bit bumpy, but progress is progress.

Analysts expect rates to settle around the low 6s or even high 5s by next year. Even a small drop can make a big difference in what you can afford — potentially saving you hundreds of dollars on your monthly payment.

💸 Home Prices Will Rise Slowly (And That’s a Good Thing)

As rates dip and more buyers return to the market, home prices are expected to rise — just more moderately.

We’re not heading toward a price crash. Instead, experts expect a steady, sustainable increase that makes it easier to plan your budget and move with confidence.

Of course, this will vary by location — some markets may grow faster than others — but overall, the outlook is stable and healthy.

✨ The Bottom Line

After a quieter few years, 2026 is shaping up to be a year of new opportunities in real estate.

✅ Home sales are expected to rise
✅ Mortgage rates are trending lower
✅ Price growth is stabilizing

That combination could make buying or selling a home feel much more doable.

So the question is:
Will 2026 be the year you make your move?

Finding ways to make your credit score better could help you get a lower mortgage rate. When you’re ready to get the process started, let’s connect.

Jeremy Kilbourne

Jeremy is Arch Mortgage North’s Lead Loan Officer. Bringing experience, compassion and creativity to the mortgage lending process, Jeremy loves helping clients achieve their home ownership goals.

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