N.A.R. - Home Prices Increased in 73% of Metro Areas in Fourth Quarter of 2025

 WASHINGTON (February 4, 2026) – Home prices rose in 73% of metro markets (168 out of 230) during the fourth quarter of 2025, according to the National Association of REALTORS®’ latest quarterly report. This is down from 77% in the third quarter. Five percent of metro areas (12 out of 230) recorded double-digit price gains, up slightly from 4% last quarter. The report provides the real estate ecosystem—including agents and homebuyers and sellers—with quarterly metro-area data on median home prices and housing affordability.

The national median single-family existing-home price grew 1.2% year over year to $414,900, down from 1.7% annual growth in the third quarter.

Median existing single-family home price by region (year-over-year change)

• Northeast: $514,600 (+5.5%)
• Midwest: $317,100 (+4.3%)
• South: $367,300 (+0.2%)
• West: $625,800 (-1.2%)

“Home sales squeaked out a gain in the final quarter of 2025, helped by improving affordability conditions,” said NAR Chief Economist Lawrence Yun. “Mortgage rates fell, income growth outpaced home price growth, and the income required to buy a typical home declined.”

“While most metro markets continue to see record-high housing wealth, some areas are experiencing home price declines,” Yun added. “These declining markets are concentrated primarily in Florida and Texas, where robust supply and recent home construction are increasing competition among sellers to attract buyers.”

10 large markets with biggest year-over-year median price increases

1. Mobile, Ala. (+13.7%)
2. Canton-Massillon, Ohio (+9.8%)
3. Nassau County-Suffolk County, N.Y. (+9.6%)
4. Montgomery, Ala. (+9.4%)
5. St. Louis, Mo.-Ill. (+9.1%)
6. Shreveport-Bossier City, La. (+8.4%)
7. Youngstown-Warren-Boardman, Ohio-Pa. (+8.3%)
8. Providence-Warwick, R.I.-Mass. (+8.2%)
9. Fort Wayne, Ind. (+8.0%)
10. Hartford-West Hartford-East Hartford, Conn. (+8.0%)

10 most expensive markets

1. San Jose-Sunnyvale-Santa Clara, Calif. ($1,920,000; 0.0%)
2. Anaheim-Santa Ana-Irvine, Calif. ($1,396,500; +2.7%)
3. San Francisco-Oakland-Hayward, Calif. ($1,305,000; -0.8%)
4. Urban Honolulu, Hawaii ($1,142,100; +3.5%)
5. San Diego-Carlsbad, Calif. ($994,000; +0.9%)
6. Salinas, Calif. ($995,500; +1.2%)
7. Los Angeles-Long Beach-Glendale, Calif. ($939,700; 0.0%)
8. Oxnard-Thousand Oaks-Ventura, Calif. ($936,700; +1.8%)
9. San Luis Obispo-Paso Robles, Calif. ($917,100; -1.1%)
10. Nassau County-Suffolk County, N.Y. ($818,800; +9.6%)

Housing affordability

• 25% of markets experienced declining home prices
  • Up from 23% last quarter
• $2,057: monthly mortgage payment on a typical existing single-family home with a 20% down payment
  • 5.7% decrease from the previous quarter
  • 3.1% decrease year over year
• 22.9%: average share of income typical families spent on mortgage payments
  • Down from 24.5% last quarter
  • Down from 24.7% last year

First-time buyers

• $2,019: the monthly mortgage payment for a typical starter home valued at $352,700 with a 10% down payment
  • $122 decrease from last quarter
  • $62 decrease from last year
• 34.6%: share of income first-time buyers spent on monthly mortgage payments
  • Down from 37.0% last quarter
  • Down from 37.3% last year

About the National Association of REALTORS®

The National Association of REALTORS® is involved in all aspects of residential and commercial real estate. The term REALTOR® is a registered collective membership mark that identifies a real estate professional who is a member of the National Association of REALTORS® and subscribes to its strict Code of Ethics. For free consumer guides about navigating the homebuying and selling transaction processes – from written buyer agreements to negotiating compensation – visit facts.realtor.

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NOTE: NAR releases quarterly median single-family price data for approximately 230 Metropolitan Statistical Areas (MSAs). In some cases, the MSA prices may not coincide with data released by state and local REALTOR® associations. Any discrepancy may be due to differences in geographic coverage, product mix, and timing. In the event of discrepancies, REALTORS® are advised that for business purposes, local data from their association may be more relevant.

Data tables for MSA home prices (single-family and condo) are posted at https://www.nar.realtor/research-and-statistics/housing-statistics/metropolitan-median-area-prices-and-affordability. If insufficient data is reported for an MSA in a particular quarter, it is listed as N/A. For areas not covered in the tables, please contact the local association of REALTORS®.

Areas are generally metropolitan statistical areas as defined by the U.S. Office of Management and Budget. NAR adheres to the OMB definitions, although in some areas an exact match is not possible from the available data. A list of counties included in MSA definitions is available at: https://www.census.gov/geographies/reference-files/time-series/demo/metro-micro/delineation-files.html.

Regional median home prices are from a separate sampling that includes rural areas and portions of some smaller metros that are not included in this report; the regional percentage changes do not necessarily parallel changes in the larger metro areas. The only valid comparisons for median prices are with the same period a year earlier due to seasonality in buying patterns. Quarter-to-quarter comparisons do not compensate for seasonal changes, especially for the timing of family buying patterns.

Median price measurement reflects the types of homes that are selling during the quarter and can be skewed at times by changes in the sales mix. For example, changes in the level of distressed sales, which are heavily discounted, can vary notably in given markets and may affect percentage comparisons. Annual price measures generally smooth out any quarterly swings.

NAR began tracking of metropolitan area median single-family home prices in 1979; the metro area condo price series dates back to 1989.

The seasonally adjusted annual rate for a particular quarter represents what the total number of actual sales for a year would be if the relative sales pace for that quarter was maintained for four consecutive quarters. Total home sales include single-family, townhomes, condominiums and co-operative housing.

Florida Consumer Sentiment Rises in January

 Florida’s consumer sentiment index rose in January as views of personal finances and spending improved, even as economic uncertainty persists.

GAINESVILLE, Fla. — Consumer sentiment among Floridians increased in January, rising 2.3 points to 77.2 from 74.9 in December. National sentiment also rose, increasing 3.5 points over the month.

Florida consumer sentiment increased at the beginning of the year, reflecting more positive views of personal finances and spending plans. The period was marked by continued economic uncertainty, including renewed trade tensions, persistent inflation pressures and the Federal Reserve’s decision to keep interest rates unchanged. Taken together, the data suggest sentiment improved even as broader economic uncertainty remained elevated, said Hector H. Sandoval, director of the Economic Analysis Program at UF’s Bureau of Economic and Business Research.

Among the five components that make up the index, four increased in January and one declined.

Floridians’ opinions about current economic conditions were relatively optimistic. Views of personal financial situations compared with a year ago increased 4.7 points, from 68.7 to 73.4, representing the largest increase among the five components this month. Similarly, opinions about whether this is a good time to buy a big-ticket household item, such as a refrigerator or furniture, rose 4.5 points, from 62 to 66.5. These positive views were shared by most Floridians, except those with annual incomes above $50,000, who reported less favorable opinions about their personal financial situations.

Expectations about future economic conditions were mixed. Expectations of personal financial situations one year from now declined slightly, falling four-tenths of a point from 89.1 to 88.7, although men reported more optimistic views. In contrast, expectations regarding U.S. economic conditions over the next year increased 2 points, from 76.6 to 78.6, and expectations for U.S. economic conditions over the next five years rose seven-tenths of a point, from 77.9 to 78.6. These positive views of the national economy were shared by most Floridians. However, women and those with annual incomes under $50,000 expressed more pessimistic views about the short-term national outlook. Women, people younger than 60 and those with annual incomes above $50,000 reported more pessimistic views of the long-term outlook.

“The year begins on a positive note for consumer sentiment. However, it is important to note that sentiment remains about 10 points below the levels observed at the beginning of 2025. Over the past year, particularly during the first four months of 2025, sentiment declined amid policy changes and heightened economic and policy uncertainty. While January’s results suggest that rising uncertainty and increasing consumer sentiment can coexist, developments in trade policy could raise business costs going forward. In addition, with the Fed pausing further rate cuts, borrowing costs for mortgages, auto loans, and credit cards are unlikely to decline substantially in the near term. Persistent inflation also continues to place pressure on household budgets, especially for lower- and middle-income families,” said Sandoval.

“Looking ahead, consumer sentiment may recover further, but this will depend in large part on a reduction in economic and policy uncertainty, which remains an important risk to sustained improvements in confidence,” Sandoval added.

Conducted Dec.1 to Jan. 29, the UF study reflects the responses of 364 individuals who were reached on cellphones representing a demographic cross section of Florida.

Data are weighted based on Florida county of residence, age group, and sex to ensure representativeness of the Florida population. The population figures used for weighting (targets) are obtained from the Population Program of the Bureau of Economic and Business Research (BEBR), which produces the official population estimates for the state of Florida. Phone data quality is maintained by monitoring and reviewing interviews and prevention of duplicate records.

The index used by UF researchers is benchmarked to 1966, which means a value of 100 represents the same level of confidence for that year. The lowest index possible is 2, and the highest is 150.

Source: University of Florida

© 2026 Florida Realtors®

U.S. December Pending Home Sales Fall

 January 21, 2026

U.S. pending home sales fell 9.3% in December as limited inventory and seasonal factors slowed contracts. Buyer and seller traffic expectations improved for early 2026.

WASHINGTON — Pending home sales in December decreased by 9.3% from the prior month and 3.0% 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 declined in all four regions. Year-over-year pending home sales rose in the South and declined in the Northeast, Midwest and West.

“The housing sector is not out of the woods yet,” said NAR Chief Economist Lawrence Yun. “After several months of encouraging signs in pending contracts and closed sales, the December new contract figures have dampened the short-term outlook.”

“Even after accounting for typical seasonal patterns, interpreting in-person home search activity in the winter – especially in December – can be tricky due to public holidays, people taking time off, and wintry weather conditions,” Yun added. “We’ll be watching the data in the coming months to determine whether the soft contract signings were a one-month aberration or the start of an underlying trend.”

“Data shows closing activity increased in December. However, new listings did not keep pace so inventory decreased. Consumers prefer seeing abundant inventory before making the major decision of purchasing a home. So, the decline in pending home sales could be a result of dampened consumer enthusiasm about buying a home when there are so few options listed for sale. In December there were only 1.18 million homes on the market – matching the lowest inventory level of 2025.”

December 2025 national pending home sales

• 9.3% decrease month over month
• 3.0% decrease year over year

December 2025 regional pending home sales

Northeast

• 11.0% decrease month over month
• 3.6% decrease year over year

Midwest

• 14.9% decrease month over month
• 9.8% decrease year over year

South

• 4.0% decrease month over month
• 2.0% increase year over year

West

• 13.3% decrease month over month
• 5.1% decrease year over year

While national pending home sales dipped in December, several local markets are showing notable year-over-year gains. Among the 50 largest metro areas, the following 10 markets posted the biggest annual increases in pending home sales, according to data from Realtor.com Economics:

• Louisville/Jefferson County, KY-IN (+23.8%)
• San Antonio–New Braunfels, TX (+13.6%)
• Virginia Beach–Chesapeake–Norfolk, VA-NC (+11.0%)
• Charlotte–Concord–Gastonia, NC-SC (+9.7%)
• Boston–Cambridge–Newton, MA-NH (+9.2%)
• Phoenix–Mesa–Chandler, AZ (+8.7%)
• Oklahoma City, OK (+8.0%)
• Miami–Fort Lauderdale–West Palm Beach, FL (+6.3%)
• Pittsburgh, PA (+5.8%)
• Memphis, TN-MS-AR (+4.7%)

December 2025 Realtors® Confidence Index Survey

The Realtors Confidence Index (RCI) survey gathers information from Realtors about local market conditions based on their client interactions and the characteristics of their most recent sales for the month. The RCI is reflective of closed sales activity for December. Findings from the latest RCI report include:

• 39 days: Median time on market for properties, up from 36 days last month and 35 days in December 2024.
• 29% of sales were first-time homebuyers, down from 30% last month and 31% in December 2024.
• 28% of transactions were cash sales, up from 27% a month ago and unchanged from December 2024.
• 18% of transactions were individual investors or second-home buyers, unchanged from last month and up from 16% in December 2024.
• 2% of sales were distressed sales (foreclosures and short sales), unchanged from a month ago and December 2024.
• 31% of NAR members expect an increase in buyer traffic over the next three months, up from 22% last month and 27% one year ago.
• 28% expect an increase in seller traffic, up from 18% last month and 27% one year ago.

© 2026 National Association of Realtors® (NAR)

U.S. December Existing Home Sales Increase 5.1%

 Late-year sales activity showed renewed momentum nationwide as mortgage rates eased and price growth slowed, according to the National Association of Realtors.

WASHINGTON — Existing-home sales increased by 5.1% in December, 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 all regions. Year-over-year sales increased in the South, remained flat in the Midwest and West, and decreased in the Northeast.

"2025 was another tough year for homebuyers, marked by record-high home prices and historically low home sales,” said NAR Chief Economist Lawrence Yun. "However, in the fourth quarter, conditions began improving, with lower mortgage rates and slower home price growth. December home sales, after adjusting for seasonal factors, were the strongest in nearly three years. The gains were broad-based, with all four major regions improving from the prior month."

"Inventory levels remain tight,” Yun added. "With fewer sellers feeling eager to move, homeowners are taking their time deciding when to list or delist their homes. Similar to past years, more inventory is expected to come to market beginning in February."

National snapshot

Total existing-home sales for December

• 5.1% increase in existing-home sales month over month to a seasonally adjusted annual rate of 4.35 million.
• 1.4% increase in sales year over year.

Inventory in December

• 1.18 million units: Total housing inventory2, down 18.1% from November and up 3.5% from December 2024 (1.14 million).
• 3.3-month supply of unsold inventory, down from 4.2 months in November and up from 3.2 months in December 2024.

Median sales price in December

• $405,400: Median existing-home price for all housing types, up 0.4% from one year ago ($403,700) – the 30th consecutive month of year-over-year price increases.

Single-family and condo/co-op sales

Single-family homes in December

• 5.1% increase in sales month over month to a seasonally adjusted annual rate of 3.95 million, up 1.8% from December 2024.
• $409,500: Median home price in December, up 0.2% from last year.

Condominiums and co-ops in December

• 5.3% increase in sales month over month to a seasonally adjusted annual rate of 400,000, down 2.4% from last year.
• $364,400: Median price, up 1.5% from December 2024.

Regional snapshot for existing-home sales in December

Northeast

• 2.0% increase in sales month over month to an annual rate of 520,000, down 1.9% year over year.
• $496,700: Median price, up 3.7% from December 2024.

Midwest

• 2.0% decrease in sales month over month to an annual rate of 1 million, unchanged year over year.
• $306,000: Median price, up 3.1% from December 2024.

South

• 6.9% increase in sales month over month to an annual rate of 2.02 million, up 3.6% year over year.
• $360,200: Median price, down 0.3% from December 2024.

West

• 6.6% increase in sales month over month for an annual rate of 810,000, unchanged year over year.
• $605,600: Median price, down 1.4% from December 2024.

Mortgage rates

• 6.19%: The average 30-year fixed-rate mortgage in December, according to Freddie Mac, down from 6.24% in November and 6.72% one year ago.

© 2026 National Association of Realtors® (NAR)

Mortgage Rate Lock-in effect easing

 Mortgages with rates above 6% now exceed the share below 3%, marking a post-pandemic shift as higher borrowing costs reshape homeowner behavior.

AUSTIN, Texas — The share of U.S. homeowners carrying mortgage rates above 6% has officially surpassed the share holding ultra-low rates below 3%, signaling a meaningful shift in the housing market after years of historically low borrowing costs, according to new Realtor.com analysis of outstanding mortgage data.

In the third quarter of 2025, 21.2% of outstanding mortgages carried interest rates of 6% or higher, edging past the 20.0% share with rates below 3%. While mortgage rates have eased from their 2025 peak of 7.04% in January and settled into the low-6% range by year's end, they have remained above 6% since September 2022—continuing to influence homeowner behavior, market mobility, and housing supply.

"Mortgage rates above 6% now represent a larger share of outstanding loans than the ultra-low rates that defined the pandemic-era housing boom," said Danielle Hale, chief economist at Realtor.com®. "This crossover reflects a gradual resetting as some households trade in low-rate mortgages for higher-rate loans or enter the market for the first time, even as rate lock-in continues to limit the pace of inventory recovery."

Low-rate mortgages remain a powerful force

More than half (51.5%) of outstanding mortgages still have rates at or below 4%, and nearly 69% carry rates of 5% or lower. This concentration helps explain why many homeowners remain hesitant to sell: The typical homeowner would see their monthly mortgage payment rise by nearly $1,000 if they sold and bought a median-priced home in today's high-price, high-rate environment.

Ultra-low mortgage rates were an anomaly in modern housing history. The 30-year fixed mortgage rate fell below 3% in July 2020 and largely stayed there through September 2021 – the only period since data collection began in 1971 when rates dipped below that threshold. Those extraordinary conditions left a lasting imprint on today's housing market.

Despite this, the share of mortgages with rates above 6% has increased more than 4 percentage points from the third quarter of 2024 to the third quarter of 2025, reflecting continued buyer activity even in a higher-rate environment. Life events such as marriage, divorce, or growing families continue to drive homebuying, while some buyers who had delayed moves may be acting as rates softened modestly from recent highs.

Housing supply improvements push towards balanced market

Housing supply has improved over the past year, pushing the national market into more balanced territory and some local markets into buyer's market conditions. However, inventory remains constrained, particularly in more affordable areas where homes continue to sell quickly amid strong competition.

"Even with rates still elevated, modest mortgage rate decreases into the low-6% range could encourage additional homebuying activity," Hale added. "Further easing in inflation and mortgage rates would be key to unlocking more seller participation, helping to relieve price pressure and competition in an under-supplied market."

Lock-in effect, still in effect, but beginning to ease

While roughly 80% of outstanding mortgages still carry rates under 6%, underscoring the persistence of rate lock-in, the fact that mortgages above 6% now outnumber those below 3% marks an important inflection point – one that suggests a slowly loosening grip of the ultra-low-rate era on today's housing market.

Methodology

Realtor.com analysis of FHFA Outstanding Residential Mortgage statistics.

Source: Realtor.com

© 2026 Florida Realtors®

Florida Cities Lead 2025 U.S. Migration Rankings

 By Amy Connolly

Florida dominated the U-Haul Growth Index, with 8 cities in the top 10 and Ocala ranked No. 1 again. The state also placed second nationally for inbound moves.

ORLANDO, Fla. — Florida continues to attract new residents at a strong clip, according to the newly released 2025 U-Haul Growth Index, which tracks migration patterns based on one-way moving transactions.

The Sunshine State is home to eight of the top 10 growth cities and 12 of the top 25 for the past year. At the top of the list is Ocala, which retains its title as the No. 1 U.S. growth city, a distinction it also held in 2024 and 2022.

Other Florida cities featuring prominently on the list include:

• North Port — second-highest growth city in the U.S.
• Kissimmee — fourth in the rankings.
• Clermont — fifth, jumping substantially from prior years.

Fort Lauderdale, St. Augustine, Daytona Beach, Panama City, North Fort Myers, Leesburg, Sarasota and St. Cloud also made the top 25.

The index also highlights Florida metros in the top 25 U.S. growth metros based on net inbound U-Haul traffic, signaling broader regional appeal: Lakeland, Palm Bay, Jacksonville, Port St. Lucie and Miami all ranked among the nation’s most popular metro destinations for movers.

Overall, Florida was the No. 2 state for inbound moves, second only to Texas in the nationwide ranking.

Industry analysts use the U-Haul Growth Index as one of several indicators of population shifts, especially in fast-growing Sun Belt states. The strong showing of Florida communities on the 2025 list suggests that trends toward relocation for climate, lifestyle and economic reasons remain robust.

Source: U-Haul

© 2026 Florida Realtors®

Home Prices Level Off Across U.S. Metros

 Slower price growth marked 2025 as more metros saw declines, equity borrowing increased and affordability pressures remain heading into 2026.

IRVINE, Calif. — Home price growth slowed noticeably in 2025, according to economists at Cotality, a real estate data and property analytics firm that tracks housing trends nationwide. The slowdown gave buyers a bit of breathing room after several fast-paced years. Prices were up 3.4% year over year in January, but by October that increase had cooled to about 1.1%. In fact, price growth hit its lowest point in a decade, and about one-third of the nation’s 100 largest metro areas saw prices dip compared with a year earlier, Cotality, formerly called CoreLogic, said.

That cooling trend came with some ripple effects. Even as home values leveled out, total housing wealth climbed to a record $48.6 trillion, prompting more homeowners to tap into their equity. Home equity lending reached its highest level since 2008. At the same time, mortgage delinquencies edged up slightly, especially among FHA loans.

The market also looked very different depending on location. In the Washington, D.C., area, federal layoffs and a government shutdown pushed inventory up by a record 60%. With more homes available, listings sat longer, and the median time on market rose 36%.

Investors, however, stayed active. They spent an estimated $483 billion on nearly one million single-family homes this year. Meanwhile, the rental market eased nationwide, with single-family rent growth slowing to its weakest pace in 15 years.

Looking ahead to 2026, Cotality expects conditions to improve modestly. Home prices are projected to rise about 3% nationally, though affordability challenges and rising non-mortgage costs could continue to weigh on the market.

U.S. housing market trends

1. Home price growth slowed throughout 2025. January recorded stable 3.4% annual increases, but by October home price growth dropped to just 1.1%, the lowest since 2012. Within the span of three years, the housing market has changed markedly. Compared with the robust gains of 2022, when some metros saw over 30% appreciation, this year was marked by price declines. At the start of the year, only six metros posted year-over-year drops, but by October, that number surged to 32, spreading beyond Florida into Texas, California, and the Mountain West.

2. While national for-sale inventory increased in the single-digits in November 2025, the greater Washington, D.C. region saw record-breaking 60% year-over-year increase in inventory. The number of homes on the market was up at least 40% in all five metropolitan divisions. The sharpest rise was seen in the Frederick-Gaithersburg-Bethesda, MD metro division on the northern edge of the metro area, where the number of unsold homes was up 68% since November 2024.

3. Median time on market for listings in the Washington, D.C. region rose 36% year-over-year, far outpacing the 10% increase for the nation. Both the increase in time on market and the surge in unsold inventory came after large-scale layoffs in the federal government. This skew in the market was amplified by a two-month-long government shutdown in October and November.

4. Investors maintained a strong market presence in 2025. In 2025 (through October), investors spent $483 billion on just under one-third of all single-family home purchases. Investor activity is on track to surpass 2024 totals of $475 billion spent on 1.05 million homes.

5. The typical age for first-time homebuyers remains close to 32 years old. Median age for first-time buyers is up in expensive regions like California, but it’s dropped in less costly Midwestern and Southern cities. This year, the median age for first-time buyers is 36 in both Los Angeles and San Francisco, 35 in New York, 32 in Dallas, 28 in Des Moines-West Des Moines, IA, and 27 in Columbus, IN.

6. Annual single-family rent growth slowed this year, falling to a 15-year low by October. Metros with year-over-year declines in the Single-Family Rent Index grew from eight of the largest 50 metros in January to 18 in October. However, those decreases haven’t erased gains from 2021 and 2022. Despite recording the largest drops in October rent prices, Cape Coral, Florida, and North Port, Florida, are still up 27% and 32%, respectively, over the past five years.

U.S. mortgage market trends

7. Housing wealth peaked in 2025. The total value of the residential housing stock hit a record $48.6 trillion in Q2 2025, before pulling back slightly to $48.4 trillion. Since the start of the decade, the market has created $18 trillion in residential housing wealth, which is $6 trillion more than was added during the entire 2010s.

8. The share of seriously delinquent mortgages (90 days-past-due or more) slightly increased to 0.94% in September 2025 from the same time last year. Serious delinquency rates for Federal Housing Administration (FHA), U.S. Department of Veterans Affairs (VA), and conventional loans were 4.12%, 2.13%, and 0.63%, respectively. The largest increase in serious delinquency rate was for FHA loans which were up 58 basis points year-over-year. In contrast, the serious delinquency rate for VA loans and conventional loans saw a minor decrease of 5 basis points and 2 basis points, respectively.

9. Home equity lending rose to the highest level since 2008. During the first three quarters of 2025, lenders originated more than 557,000 new home equity loans totaling about $31.6 billion. The number of home equity loans and their amounts have increased by 3% and 10%, respectively, year-over-year in 2025. Home equity loans are gaining popularity as homeowners seek to tap into their accumulated equity.

Looking ahead to 2026

10. Cotality expects the 2026 housing market to begin a modest recovery in 2026. The path to recovery will be supported by labor stability and a gradual easing of inflation and mortgage rates, which are expected to stay above 6%. National home prices should rise by about 3%, with gains centering around northeastern and midwestern markets. However, affordability pressures and financial strain still pose a risk to recovery. Rising non-mortgage costs (insurance, property taxes) could cause "escrow shock" or localized delinquency spikes, especially for low-down-payment borrowers. Persistent inventory shortages and elevated consumer debt will continue to deepen regional disparities and K-shaped recovery dynamics.

Source: Cotality

© 2025 Florida Realtors®