Home prices in 2026 are expected to rise modestly by 2% to 4%, a slowdown from previous years. Inventory is increasing but remains below pre-pandemic levels, limiting a true buyer’s market. Mortgage rates will likely stay above 6%, and affordability is improving as wages catch up to prices. Regional markets will vary, with tight supply in the Northeast and cooling in the Sun Belt. Home sales may rise 10-20%, but economic uncertainty could temper growth.
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