I know a lot of you are genuinely curious about what’s ahead for the real estate market in 2026. That’s why I really appreciated this insightful article and video from economist Matthew Gardner. He breaks down his own forecast while also compiling predictions from trusted sources like the National Association of Realtors, Fannie Mae, Zillow, and others.

Whether you are thinking about moving up from a three percent mortgage into a larger home, relocating closer to work, buying your first home, or simply trying to make sense of all the fear based headlines online, I get it. There is a lot of noise right now, and it can feel overwhelming or even paralyzing.

Here is the grounding truth. You do not have to figure this out on your own. If you have questions about interest rates, timing a move, using equity, or how today’s market actually impacts your personal goals, please reach out. I am not going to attack you for asking a question, and you will not find me staring through your kitchen window with a listing contract and a creepy grin. Knowledge is power, having a plan matters, and sometimes you do not know whether you are ready until you simply ask.

A Short Summary of the 2026 Predictions

According to Matthew Gardner and the collective outlook from major housing authorities, the overall theme for 2026 is stability with modest, healthy movement. Most forecasts are not calling for a crash or a dramatic surge. Instead, the expectation is that the market continues to normalize after several unusual years.

Home prices are projected to grow slowly rather than spike. Sales activity is expected to improve as more buyers and sellers adjust to current interest rates and move forward with life changes that have been on pause. Mortgage rates are not predicted to return to the historic lows of the past, but there is cautious optimism that they may ease slightly and become more predictable over time.

In other words, this is not a panic market. It is a planning market.

What This Means for You

If you are a first time buyer
You are not too late. Despite what social media headlines may suggest, many buyers are still successfully purchasing homes by focusing on preparation, realistic expectations, and strategy. Slower price growth can actually create opportunities for thoughtful entry into the market rather than rushed decisions.

If you are a move up buyer sitting on a low interest rate
This is one of the biggest questions I hear. While the idea of leaving a three percent rate can feel painful, it is important to look at the full picture. Equity, lifestyle needs, commute changes, family growth, and long term plans all matter. For some people, the math still makes sense when viewed holistically. For others, waiting is the right call. The key is understanding your options rather than assuming you are stuck.

If you are a seller
A more balanced market means pricing, presentation, and strategy matter more than they did during peak frenzy years. Homes are still selling, but buyers are thoughtful and informed. Sellers who understand current conditions and position their homes properly are seeing strong results.

If you are simply watching and waiting
Staying informed without feeling pressured is a smart move. You do not need to make a decision today. But understanding how national trends intersect with our local South Sound market puts you in a position of strength whenever you are ready.

A Final Thought

You are allowed to be curious without committing to anything. Asking questions does not obligate you to buy or sell. It simply gives you clarity.

If you want to talk through your specific situation, whether that is buying your first home, moving up, downsizing, or just understanding what all of this actually means for you locally, I am always happy to have that conversation. No pressure, no judgment, and no creepy listing contracts involved.

Sometimes the smartest first step is simply getting informed and making a plan.

🫶🏻 If you or a friend/family are looking for a REALTOR®, I would be SO HONORED to be the professional you turn to! Feel free to DM or contact me at (253) 341-6949 or email andreahamre@johnlscott.com. You can also find me on Instagram and Facebook at andreahamre.realtor.