The Coming Buyer’s Market: 3 Moves To Make Now To Become a Homeowner in 2026
Written by
Laura Bogart
Edited by
Kristen Mae
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As the calendar flips to a new year, you’ve set a clear goal for the next 12 months: positioning yourself to become a homeowner in 2026. You’ve thought about the neighborhood, the commute and maybe even the garden or the décor. But long before you take a step through your future front door, your finances need to be ready.
That preparation matters even more as the housing market begins to shift. Recent Realtor.com data show inventory has been rising for more than two years, giving buyers more options than they have had in recent memory. At the same time, buyer activity remains soft, with homes staying on the market longer and prices edging slightly lower compared with last year. Together, these trends point to a market that is gradually easing in buyers’ favor — making it all the more important to be financially prepared.
To understand the smartest moves prospective buyers can make now — particularly as conditions gradually tilt toward buyers in certain markets — GOBankingRates turned to Nikki Beauchamp, senior global real estate advisor at Sotheby’s International Realty. With over two decades of experience helping buyers navigate shifting markets, Beauchamp brings a data-driven, practical lens to what matters most when preparing to buy a home.
Get Your Financial House in Order
Before you start touring homes or scrolling listings, Beauchamp says the most important work happens behind the scenes. That starts with a clear-eyed look at your entire financial picture.
Take inventory of your assets and liabilities. Know what you own, what you owe, and how those numbers work together. Review your credit report carefully. Your credit profile plays a critical role in determining your mortgage options, interest rate and overall cost to borrow.
Beauchamp also emphasizes that buyers should not try to navigate this process alone.
“Determine whether there are any liabilities that should be paid down or paid off to improve your debt-to-income ratio,” she said. “If you currently own property that you’ll need to sell in order to purchase the next, make sure you understand the timelines as a seller and as a buyer, and how best to work with your team of advisors to smoothly facilitate a transition between properties.”
Connecting with a lender early can help you understand what’s realistic, what needs improvement and how much flexibility you may have when the right home comes along.
Set a Smart Budget — and Avoid Becoming ‘House Poor’
As you think about your next home, it’s easy to get swept up in excitement — more space, a big backyard, maybe even a pool. While enthusiasm is hardly a bad thing, Beauchamp cautions against becoming “house poor” — spending such a large portion of your income on housing costs (like your mortgage, taxes, insurance, utilities or maintenance) that you don’t have much, or any, money left over for other financial needs.
“Generally, the suggestion is that your housing expenses do not exceed 30% of your gross income,” she said. “These could be higher depending on circumstances, such as living in a higher cost-of-living area, but not at the expense of saving and managing other debt.”
Beauchamp adds that banks typically look for a debt-to-income ratio in the roughly 25% to 35% range, including other debt obligations — which is why she’s so keen for you to get your personal finances in order.
If you’re shopping in a competitive market, she advises protecting your budget by searching at one pricing band below your maximum amount so you can feel more comfortable making competitive offers.
Use Buyer-Friendly Market Conditions to Your Advantage
‘Tis the season to look for several market indicators that could work in your favor in the year ahead. Beauchamp encourages you to consider seasonality, since certain times of year tend to favor buyers. Working with a trusted real estate agent to understand how these seasonal patterns play out in your local market can help you make more strategic moves.
Keep an eye out for so-called “stale” listings — properties that have been on the market for a long time without any price adjustments. These homes can offer fertile ground for negotiating more favorable terms, since the seller might be eager to close a deal. At the same time, listings with recent price reductions could signal that a seller is open to negotiation.
When markets shift and listing times lengthen, you have the advantage of more time to do your research, perform thorough inspections and negotiate terms that favor you. There is often room to ask for concessions from the seller, such as help with closing costs.
The Bottom Line
Whether you’re planning to buy your first home or move into your next one, preparation is what turns a shifting market into a real opportunity. When you get your finances organized, budget wisely and understand market conditions in your area, you can put yourself in a strong position to become a homeowner in 2026 — without unnecessary stress or regret.
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