Why 2026 Might Be Your Year to Buy a New House
Written by
Travis Woods
Edited by
Brendan McGinley
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The first half of the 2020s were not easy for prospective American homebuyers. The COVID-19 pandemic (along with the economic panic and supply-chain shortages that came with it), rising inflation and limited housing availability all conspired to destabilize the housing market.
That could all change, though, as 2026 may finally be a good year for homebuyers.
Why 2026 Might Be Good for the Housing Market
As reported in Yahoo Finance, the inflation rate has slowed to 3% year over year, down from its extreme high of 9.1% in 2022 and far closer to the Federal Reserve’s goal of 2%. Additionally, the Fed could make further cuts to lower the inflation rate in 2026. Mortgage rates also dropped, while more and more homes are now becoming available on the market.
The result? More competitive and affordable home prices in 2026, far lower than what they have been throughout the 2020s thus far.
How To Prepare for a Healthier Housing Market in 2026
If you’re in the market for a new home, be prepared to act fast in 2026. As inflation and mortgage rates decrease, competition will spike and new homes will move fast as soon as they become available. That means would-be homebuyers need to be positioned to buy as soon as their dream home or homes go up for sale.
That means taking a long, hard look at your finances, and making sure you’re prepared for the expensive process of buying a new home. That includes taking a U.S. Department of Housing and Urban Development-approved home-buyer education course — such courses teach people how to economically ready yourself for buying a home, how to make a mortgage budget and how to close a major home buy.
Regardless of where mortgage and inflation rates land in 2026, and how buyer-friendly the market becomes, it’s still important to prepare. That means having a 20% down-payment saved, a healthy and steady income, and a high credit rating. Armed with those financial strengths, 2026 could end with you living happily in your new home.
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