After several years of high mortgage rates and cautious buyers, the housing market is quietly picking up momentum. Sellers are coming back. Buyers are re-engaging. And while we aren’t seeing a dramatic surge, we are seeing meaningful movement — the kind that could set the stage for a healthier, more active market in 2026.
According to the Keeping Current Matters, rates have been fluctuating throughout the year, but the overall trend has been downward. In fact, the past few months brought some of the best mortgage rates we’ve seen in 2025.
Even a modest dip can save buyers thousands annually — and that extra breathing room matters. Data shows that a buyer with a $3,000 monthly budget can now afford roughly $25,000 more home than they could this time last year.
Lower borrowing costs = more buying power. And it’s bringing buyers back into the market.
More Homeowners Are Listing Again
For years, many homeowners stayed put to avoid giving up their ultra-low pandemic-era mortgage rates. But as rates ease and life changes take priority, more people are finally choosing to move.
Inventory is steadily rising, and according to Realtor.com, the number of homes for sale is approaching the highest levels we’ve seen in nearly six years. More supply means more options — something buyers have desperately needed.
Buyer Activity Is Rebounding
With improving affordability and a growing number of listings, buyers are stepping back in. The Mortgage Bankers Association reports purchase applications are up compared to last year, signaling stronger demand ahead.
Modest but steady sales growth as we head into 2026 — a welcome shift after a slow few years.
Bottom Line
The housing market isn’t roaring back overnight, but it is turning a corner. Lower rates, more listings, and renewed buyer interest are breathing life back into the market and setting up a stronger year ahead.
If you’re thinking about making a move in 2026, now is the perfect time to start planning. We’re here to help you understand what these trends mean for your goals — whether buying, selling, or simply exploring options.
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Source: keepingcurrentmatters.com
