Home prices expected flat in 2026, signaling a 'next era' per Compass economist.
Affordability to improve as incomes rise faster than prices after years of stagnant sales.

An industry group projected the 30-yr fixed mortgage rate would hold in the low-6% range through the rest of 2026 nationally for buyers.
That outlook suggested borrowing costs would stay elevated, continuing to compress affordability for US households shopping the new-home market in the balance of 2026.
Entry-level buyers faced the strongest pressure, with the projected rate path leaving less room for affordability relief as the year moved forward.
The projection pointed to continued affordability pressure rather than meaningful easing, reinforcing that elevated mortgage rates still shaped buyer activity in this cycle.
For the rest of 2026, the central takeaway was stability in rates, but not relief, especially for buyers trying to enter the market.

In Mid-Q3, the avg. 30-yr fixed rate sat near 7%, and an expert expected near-term borrowing costs to stay in the mid-6% range.
Across major forecasts, analysts expected the 30-yr fixed rate to remain ~6% to mid-6% through 2028, with no return to much lower ranges.
For buyers, waiting on dramatically lower rates may mean missing a market with slower price growth, more listings, and fewer bidding-war pressures.
In the current market, pending and existing home sales edged higher, and improving inventory plus builder concessions could give buyers and sellers more flexibility.
Refinancing relief appears limited, but homeowners can still consider refinancing to shorten a loan, switch from an ARM, or access equity strategically.