The spring housing market is producing divergent results across the country, with Sun Belt metros seeing price corrections of 3 to 5 percent while Northeast and Midwest markets remain firm. Inventory levels are improving but still below historical norms in most areas.
New construction starts have picked up modestly as builders respond to buyer demand for affordable entry-level homes. However, labor shortages and elevated material costs continue to constrain production capacity.
Real estate economists predict that the national median home price will remain roughly flat through mid-2026 before modest appreciation resumes in the second half of the year.
