Realtor.com: 2026 To Bring A Steadier Housing Market | | |
The new year will bring a steadier market defined by rising inventory, greater affordability, and more buyer demand.
That’s according to Realtor.com’s 2026 Housing Forecast, which offers an optimistic vision of the next twelve months for Americans who spent 2025 on the sidelines.
“After a challenging period for buyers, sellers and renters, 2026 should offer a welcome, if modest, step toward a healthier housing market,” said Danielle Hale, chief economist at Realtor.com.
“Incomes climbing faster than inflation as mortgage rates steady at a lower level create space for affordability to improve. It’s not a dramatic reset, but it’s a meaningful shift that moves the market back toward balance.”
Read more from The Mortgage Note.
| | Nearly 90% of Prospective Buyers Are Planning To Purchase a Home in 2026 as Affordability Improves | |
When it comes to the real estate market, things are looking up in 2026, according to a new survey from Re/Max.
While 71% of respondents say that current market conditions have caused delays in their homebuying timeline, 88% say they are "very" or "somewhat likely" to purchase a home next year.
"The desire to own a home is still strong, and it's encouraging to learn that 88% of prospective buyers still plan to purchase in the new year," Chris Lim, Re/Max chief growth officer, tells Realtor.com®. "Homeownership has always been part of the American dream—part of our ethos and culture. It’s hopeful to see homeownership is still on the horizon for so many."
Read more from Realtor.com.
| FOMC Trims Fed Funds Rate a Quarter Point | | |
Although it had limited “available indicators” on which to base a decision, the Federal Open Market Committee voted Wednesday to trim the fed funds rate by quarter point to a range of 3.5% to 3.75%.
In its statement, the FOMC notes that “job gains have slowed this year, and the unemployment rate has edged up through September,” but that inflation continues to run above the committee’s 2% goal.
Read more from Mortgage Orb.
| | Rate-Lock Activity Saw Its Strongest November In Four Years On Hot Refi Demand | | |
Mortgage rate-lock activity saw its strongest November in four years, despite declining on the month, thanks to refinance demand.
Optimal Blue’s November 2025 Market Advantage mortgage data report found that total mortgage rate-lock activity declined with normal late fall seasonality. Despite that, November fared better than in previous years thanks to increased refinance demand and relatively low rates.
“November’s data underscores a market still responding to rate relief even as seasonal patterns take hold,” said Mike Vough, senior vice president of corporate strategy at Optimal Blue.
Read more from The Mortgage Note.
| | Study: Affordable Housing Is Still The Best Vehicle For American Wealth | | |
A new study of Atlanta-area homeowners proves that homeownership remains the best way to build generational wealth – but there’s a catch.
The report from the Atlanta Neighborhood Development Partnership, supported by JPMorgan Chase, studied 800 homes sold from April 2010 to November 2024.
These homeowners combined saw total wealth creation exceed $140 million, including for those who sold their homes.
For the families participating (93% first-time buyers and 78% families of color), the average appreciation was $116,000. That number rose to $163,000 for households with residents who had lived there for 5 years or longer.
Read more the Mortgage Note.
| |
Americans Moved Less Than Ever Last Year
Philadelphia, however, ranked no. 11 on the list for cities that attracted the most movers from other states
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In 2024, only 11% of Americans moved nationwide, making for a historic low, according to Point2Homes. This number has steadily declined over the years. A decade earlier, in 2014, 14.3% of people moved. In the 1960s, approximately 20% of people were changing residences each year.
Why are fewer Americans moving now?
Mobility rates can be attributed to a combination of factors, including rising housing costs, the increase in remote work flexibility, economic instability, job market challenges and more.
In Pennsylvania, 9.6% of people – equal to about 1.2 million – moved last year, tying the commonwealth with California for the fourth state with the lowest mobility rate.
Read more from the PA Association of Realtors.
| | Fewer Custom Homes Built in 2024 | |
Last year, newly built custom homes made up 17.5% of all new single-family homes, a decrease from 18.8% in 2023 and 20.4% in 2022, per the National Association of Home Builders.
In total, 176,932 custom homes were started in 2024, compared to 177,850 the year prior.
However, in the mid-Atlantic region, 31.2% of new single-family homes were custom-built last year. Other regions’ custom home shares were as follows:
- New England: 41.2%
- South Atlantic: 11.9%
- East South Central: 37.5%
- West South Central: 10.7%
- Pacific: 20.5%
- Mountain: 12.0%
- West North Central: 15.9%
- East North Central: 35.1%
Read more from the PA Association of Realtors.
| | Pending Home Sales Report Shows 1.9% Increase | | |
Pending home sales in October increased by 1.9% from the prior month and fell 0.4% year over year, according to the National Association of REALTORS® Pending Home Sales Report. The report provides the real estate ecosystem, including agents and homebuyers and sellers, with data on the level of home sales under contract.
Month-over-month pending home sales rose in the Northeast, Midwest and South, and declined in the West. Year-over-year pending home sales increased in the Midwest and South, and decreased in the Northeast and West.
Read more from the National Association of Realtors.
| | Existing-Home Sales Up 1.2% in October | | |
Existing-home sales increased by 1.2% in October, according to the National Association of REALTORS® Existing-Home Sales Report. The Report provides the real estate ecosystem, including agents and homebuyers and sellers, with data on the level of home sales, price, and inventory.
Month-over-month sales increased in the Midwest and South, showed no change in the Northeast, and fell in the West. Year-over-year sales rose in the Northeast, Midwest and South, and decreased in the West.
Read more from the National Association of Realtors.
| | I hope you enjoyed this Market News Update. For more information about how I can help you, please contact me. | | Information and analysis is obtained through third parties and is deemed accurate but not guaranteed. Philadelphia Mortgage Advisors is a licensed mortgage lender by the PA Dept. of Banking and Securities, NJ Dept. of Banking & Insurance, the State of DE, the Florida Office of Financial Regulation and MD Mortgage Lender #23004. NMLS #128570. | | | | |
