DECEMBER 18, 2025, EDITION

Homes are becoming more affordable nationally. The median listing price of all homes in the U.S. is $427,900, but the median price of new listings is $390,970—and over 40% of listings have seen a decrease in price.

A recent study found all 100 major U.S. markets saw year-over-year gains in affordability. Some are the most affordable in three years, with mortgage payments less than 30% of the median household income.

Last week, applications for purchase mortgages hit their second-highest level of the year, up 19% from last year, “as broader housing inventory and affordability conditions improve,” notes the Mortgage Bankers Association. 

Realtor.com reports, “the latest housing market data shows that conditions continued to improve for homebuyers in November, with climbing inventory, softening prices, and extended time on the market.”

That platform’s researchers discovered that the difference in monthly cost between a new and a pre-owned home is negligible—they found only a $30 difference in the period from July to September. 

A recent survey of consumers who plan to buy in the next 18 months found that 88% believe they’re likely to buy in 2026, and that most Americans view homeownership as a top way to build wealth.                                                              

DID YOU KNOW?… Zillow says the typical U.S. listing in October experienced $25,000 in price cuts, “matching the biggest discounts Zillow has tracked.” High home values are allowing sellers to cut prices and still see a profit.

Freddie Mac’s weekly survey revealed the national average 30-year fixed mortgage rate remained near 2025 lows, “well below the year-to-date average.” Remember, mortgage rates can be extremely volatile, so check with your mortgage professional for up-to-the-minute information. 

A flexible wish list can open up a lot more homes to consider. Must-haves should be a home’s location, layout, and good bones. Nicer kitchen counters and updated bathrooms can be added later. A smaller yard can’t be changed, but it may come with a home that fits your budget. We’re happy to help you evaluate your goals.

If you’re holding off selling because you have a mortgage with a low rate, ask yourself how much longer you want to live in a house that no longer fits your needs. Mortgage rates are down from their peak and are forecast to dip a little more going forward, so now may be the time to take your life off hold.