After a few years of a slower housing market, 2026 is shaping up to bring new momentum. Experts predict that more people will be ready to move, creating fresh opportunities for you to make your own move too.
More Homes Will Sell
Over the past few years, rising affordability challenges have caused many potential movers to hit pause on their plans. But that pause won’t last forever. There will always be people who need to move, and experts predict that more of them will take action in 2026 (see graph below).
What’s driving this shift? It comes down to two main factors: mortgage rates and home prices. Here’s what the latest expert forecasts reveal and why more people are likely to make a move next year.
Mortgage Rates Could Continue To Ease
The top priority for most homebuyers has been finding lower mortgage rates. After reaching nearly 7% earlier this year, rates have started to ease.
According to recent forecasts, this trend may continue through 2026, although the path is not expected to be a steady decline (see graph below).
There’s a saying that when rates rise, they take the escalator, but when they fall, they take the stairs. That’s a good reminder that the process will be gradual and a bit uneven.
You can expect modest improvements in mortgage rates over the next year, along with some ups and downs as new economic data comes in. The key is not to get caught up in short-term changes but to focus on the bigger picture. Overall, experts expect a slight downward trend, with rates possibly reaching the low 6s or even the high 5s.
Keep in mind, it doesn’t take a huge drop to make a difference. Even a small decline can improve affordability. Compared to when rates were around 7% earlier this year, today’s lower rates could already save you hundreds on your future mortgage payments, and that kind of savings can make a real impact for many buyers.
Home Price Growth Will Be Moderate
What about home prices? National forecasts show that prices are expected to keep rising, but at a slower pace. With mortgage rates easing from their peak earlier this year, more buyers are likely to return to the market. That increase in demand will continue to put some upward pressure on prices and help prevent any major drop.
While a few markets are seeing slight price declines, there’s no sign of a major crash ahead. After the strong price growth of the past five years, even areas with recent dips are still higher compared to just a few years ago.
Of course, price trends will vary depending on your location and local market conditions. Inventory plays a big role in determining how much prices will appreciate in different areas. Still, experts agree that home prices will continue to grow at the national level (see graph below).
This is another positive sign for buyers and overall affordability. Although prices are expected to rise nationwide, the pace will be much more manageable. That stability makes it easier to plan your budget and gives you confidence knowing prices are unlikely to surge unexpectedly.
Bottom Line
After a slower few years, 2026 is shaping up to bring more activity and opportunity to the housing market. With home sales expected to increase, mortgage rates easing, and price growth leveling out, conditions are moving toward a healthier and more balanced market.
The real question is, will you be one of the movers making 2026 your year? Let’s connect and start preparing for your next move.
