Home prices could climb 2% in 2025 and an additional 2% in 2026, according to the latest forecast from the National Association of Realtors.
The group’s economist, Lawrence Yun, projected the median U.S. home price would continue to increase in 2025, but at a slower pace compared to previous years, reaching a $410,700 median existing-home price. The median home price in November stood at $406,100.
“Home price growth could be more muted, more modest,” Yun said. “Maybe it’s a healthy thing, we want income to catch up with home prices, maybe giving a couple years or more of lighter price growth may be a good thing.”