What Buyers & Homeowners Can Expect from the 2026 Housing Market

The 2026 housing market is already taking shape here in Southern New Hampshire, and the big question I’m hearing from both buyers and homeowners is the same:

“Is it finally going to get easier to make a move?”

The latest national projections from NAR, Realtor.com, and Zillow point to slow but steady improvement. Nothing dramatic. No overnight reset.
But finally, movement in the right direction.

Here’s what the experts are saying, and what it really means for you here in Southern NH.

Sales Activity: A Slow Climb Upward

Across the country, all three major forecasts agree: 2026 should bring more home sales as affordability improves little by little. The numbers vary, but the trend is consistent.

National expectations look like this:

• NAR: 14% increase in home sales

• Zillow: 4.3% bump, hitting roughly 4.26M sales, thanks to pent-up demand

• Realtor.com: A more cautious 1.7% increase to around 4.13M, largely because 80% of homeowners still hold mortgage rates under 6%

Here in Southern New Hampshire, the pace might look different street-to-street. One of the best signs of shifting demand is how quickly new listings go under contract and that’s something I track constantly.

Home Prices: Still Rising, Just More Reasonably

Home prices are expected to keep climbing in 2026 but at a more comfortable pace than the frenzy we lived through during the pandemic.

Nationally, experts expect:

• 1.2% to 4% price growth depending on the report

• More stability in most markets

• Fewer big cities experiencing price drops (Zillow sees declines dropping from 24 markets in 2025 to just 12 in 2026)

For Southern NH homeowners, that means continued equity growth.
For buyers, it means you may finally have a little negotiating power.

Mortgage Rates: Better Than 2025, But Not 3%

All three forecasts agree on one thing:
Rates in 2026 should settle somewhere comfortably above 6% but definitely below the early-2025 spikes.

Expect:

• Around 6.3% average rates (Realtor.com)

• No return to the pandemic-era 3% range (NAR & Zillow)

• More buyers reentering as payments become more manageable

If you’re planning to buy in Southern NH, getting with a lender early is still one of the smartest moves you can make. It gives you clarity and leverage.

Inventory: More Homes Coming, Still Not Overflowing

Good news: supply is rising again.
Better news: more inventory helps both buyers and sellers.

Nationally, forecasters expect:

• An 8.9% increase in existing inventory

• 4.6 months of supply, which gets us closer to a balanced market

• Builders continuing incentives like rate buydowns

In Southern NH, this means a bit less cutthroat competition for buyers though strong offers still matter.

Affordability: Finally Moving in a Positive Direction

For the first time in a while, affordability is trending in buyers’ favor.

National data shows:

• Payment-to-income dropping to 29.3% the first dip below 30% since 2022

• More first-time buyers able to qualify

• Renters saving more easily for down payments as rent pressures ease

If you’re renting in Southern NH, this could be your moment to start preparing for a purchase.

If You Want to Buy in 2026

The improvements aren’t huge but they matter. Southern NH buyers will benefit from:

• Slightly better affordability

• More homes to choose from

• Less intense competition than we’ve seen in the last few years

The best thing you can do now?
Get clear on your price range and timeline. Preparation creates power.

If You Want to Sell in 2026

Sellers Southern NH is still treating you well. Prices are rising, equity is strong, and more buyers are stepping back into the market.

You’ll benefit from:

• Strong resale values

• A growing pool of qualified buyers

• Solid equity to leverage for your next chapter

With buyers becoming more payment-sensitive, pricing strategy matters more than ever and that’s where I come in.

Bottom Line

National experts agree: 2026 is shaping up to be a more balanced, more predictable housing market.
Here in Southern New Hampshire, a thoughtful strategy whether buying or selling will help you take advantage of increasing inventory and slowly improving affordability.

If you want to map out your best move for 2026, I’d love to walk you through it. 

Strategy sessions are my favorite part of the job let’s get you where you want to be.