Stable price increases for U.S. homes
According to data from Redfin Home Price Index (RHPI), U.S. home prices increased 0.1% month over month in December on a seasonally adjusted basis, following a 0.2% gain in November. Home-price growth slowed to a close out because potential homebuyers continued their months-long pullback. High mortgage rates and widespread economic uncertainty have discouraged many from buying in recent months. Affordability is expected to improve in 2026, in response to falling mortgage rates strengthening purchasing power, this means the market should see a steady rebound from the softer side of 2025.
“The trend toward stable home price growth took hold in 2025, and it’s staying ‘in’ for 2026,” said Chen Zhao, Redfin’s head of economics research. “While they’re still historically very high, the fact that home prices are reliably growing at a slow and steady pace should make the market a little more welcoming to buyers, who already have the upper hand in most parts of the country.”
