The National Association of REALTORS (NAR) Chief Economist Dr. Lawrence Yun reported that home sales are expected to be modestly better in the second half of 2026, while NAR’s current forecast calls for existing-home sales to rise 4% this year. Meanwhile, mortgage rates are projected to average 6.5% in 2026.
Yun added that housing wealth accumulation will continue in 2026, with the typical homeowner gaining approximately $16,000 in wealth this year. Despite headwinds in the housing market, Yun said the U.S. economy will avoid a recession in 2026.
Dr. Jessica Lautz, NAR deputy chief economist and vice president of research, reported on who is actually buying homes right now despite a challenging market. Lautz said the housing market may feel like it’s in gridlock, but distinct buyer segments are actively purchasing, whether driven by necessity, determination or housing equity.
