2026 Real Estate Trends: What Buyers, Sellers & Investors Need to Know

The 2026 real estate season is underway, and as always change may be in the forecast. With economic forces, demographic shifts and the demand for technology, there are a lot of factors that will impact the market in the year ahead. Whether you’re a buyer, seller or investor, it’s important to understand these trends in order to remain successful in 2026.

Home Sales: An Increase on the Horizon

According to the National Association of Realtors, existing home sales could rise significantly—up to 14% higher than what we saw in 2025. This is more likely to happen if the rates continue to drop. Though it will be a long time, if ever, that we see the pandemic rates, things are getting better. Instead of the high 7% rates many people were afraid of, we have moved to a more manageable rate hovering around 6%.

When it comes to mortgage rates in 2026, they are expected to following a downward trend. Significant drops may not occur, but smaller decreases will be enough to improve affordability for many buyers.

Moderate Home Price Growth

The price of homes has a huge impact on the market. Many potential buyers are hoping the prices will drop this year. Housing experts agree, a moderate home price increase should be expected.

According to Zillow, “U.S. home values are forecasted to grow 1.2% in 2026 after national values were roughly flat in 2025. Next year’s forecast reflects expectations of gradually improving affordability and steady buyer demand. Mortgage costs should ease a bit in 2026, helping more buyers stay in the market and supporting modest price growth in many parts of the country.”

Housing Preferences and Demographics

The most active players in the housing market are still Millennials and Gen Z. It’s extremely important to understand their preferences in order to ensure your business grows in 2026. Millennials and Gen Z are looking for affordability, flexibility and lifestyle amenities. And with the remote and hybrid work models becoming the norm, the interest in suburban markets continues to grow.

In addition, inflation savvy-homes are a new trend. Buyers are tired of the added expenses incurred with the inflated market, so when buying a home, they are looking for ways to ease the burden. According to Zillow, “Energy-efficient features such as zero-energy-ready homes, whole-home batteries and EV charging stations are appearing more frequently in listings. Zillow predicts families will gravitate toward homes that are energy-efficient and grocery-optimized — think walk-in pantries, garage-based cold zones for bulk storage, refrigerated drawers and smart organization systems that help families shop smarter and keep food fresh longer.”

In 2026 we will still see the older generations influencing the market. Many will continue to retire and look to relocate or sell. This demographic is also one to be aware of in the year ahead.

Technology and Real Estate

Technology and real estate will still go hand-in-hand in 2026. In fact, in the year ahead technology will play an important role in the real estate industry. AI is quickly making an impact, and real estate professionals may form a love-hate relationship with it. It is a great resource to analyze the market and create strategies with, but it can also give too much information to buyers, sellers and investors—leading agents and lenders to reign things back in.

Overall, real estate will be increasingly digital, data driven and automated. So, it’s important to adopt the latest technology in order to stay competitive and on top of decision making.

Local Market Dynamics

As always, local real estate markets may not mirror the national market forecast. This is why it’s incredibly important for real estate agents and lenders to monitor their local markets and adjust their strategies accordingly.

In 2026 it is predicted that some local markets will experience population inflows, while others stagnate or soften. This is due to affordability pressures, demographics, interest rates, policy and demand. Every city and neighborhood will vary with their dynamics, but once an agent grasps the differences, they will have the knowledge to help their clients more effectively.

Stay Educated and Informed in 2026

No matter what takes place in the real estate market for 2026, it’s important real estate professionals remain educated and informed. At Home First Title, we continue to monitor the latest industry updates and share our insights. We also offer the First Choice Real Estate Academy, which provides both aspiring Real Estate Agents and licensed Agents and Brokers with the best resources and education to advance in their Real Estate careers. Learn more by visiting our website.

Experience the Home First Title Group Difference

Because the HFTG team is knowledgeable and practical, every client receives the professional service that their particular situation requires. Whether that client is a first-time home buyer, or an experienced commercial investor entity, the HFTG team can deliver what is required to make that client comfortable and satisfied with their transaction. The HFTG team is happy to conduct settlements in any of its five locations or we can even come to you!