The housing market is showing encouraging signs of movement as we move into 2026. Recent national data reflects strengthening buyer activity, improving inventory levels, and modest price stability — all signals of a more balanced and functional market environment.
Weekly pending home sales climbed steadily throughout January, with both week-over-week and year-over-year gains. For the week ending January 23, pending sales reached 56,252 — a clear indication that buyers are re-engaging.
Mortgage purchase applications also rose 5% week over week and 18% year over year, suggesting increased confidence among buyers. Analysts note that housing demand historically strengthens when mortgage rates approach the 6% range, and 2026 may be the first year this pattern becomes more consistent.
Inventory has expanded to approximately 2.6 months of supply. While still technically a seller-favorable market, this increase supports healthier transaction flow and provides buyers with more options than they’ve seen in recent years.
New listings are also trending upward. For the week ending January 23, 53,920 homes came to market compared to 50,946 during the same week last year. The median list price currently sits at $419,900, relatively stable week over week. However, 33.6% of active listings have experienced price reductions — a sign that sellers are adjusting strategically to meet current buyer expectations.
If mortgage rates remain steady, we could continue to see positive momentum and improved opportunities for both buyers and sellers.
Source: HousingWire (January 26, 2026)