Bank of America recently asked potential buyers what would make them feel more confident about making a move. The top answers? Improved affordability, especially when it comes to prices and mortgage rates (see below).
The good news is that while the overall economy may still feel uncertain, we’re starting to see signs of positive shifts in both those areas. Here’s a breakdown of what’s changing and what it means for you.
Price Growth Is Slowing Down
Over the last few years, home prices rose quickly, often so fast that buyers felt priced out. But that pace has now eased. For example, from 2020 to 2021, prices jumped 20% in just one year. Today, national forecasts show single-digit growth instead, a much more manageable rate.
That’s a big change from the rapid price surges we saw during the pandemic. Just keep in mind that trends vary by location. Some markets will still see prices rise, while others may experience small drops.
This isn’t a price crash, it’s a slowdown. And that gives Triangle Area buyers a chance to breathe. When values rise more gradually, it’s easier to budget and plan with more confidence.
Mortgage Rates Are Coming Down
At the same time, mortgage rates have dipped from their recent highs. That’s helping take some pressure off buyers. As Lisa Sturtevant, Chief Economist at Bright MLS, explains:
Slower price growth coupled with a slight drop in mortgage rates will improve affordability and create a window for some buyers to get into the market.”
Even a small drop in rates can significantly impact your monthly payment. While rates may continue to bounce around, the bigger picture is looking better. Experts expect them to hover in the low to mid-6% range, much better than just a few months ago, and possibly dip even more depending on how the economy evolves.
What This Means for Buyers
Economic concerns haven’t disappeared, but the housing market is showing signs of adjustment. Prices are rising at a slower pace, and rates are easing.
That doesn’t mean all affordability issues are solved. But it does mean the landscape looks different now than it did earlier this year. And those changes might make it easier to re-engage if you’ve been sitting on the sidelines.
A Final Word for Buyers
Two of the biggest hurdles buyers face, prices and rates, are finally seeing some positive movement. Prices are moderating. Rates are easing. And both trends may continue into 2026.
If you’re thinking about buying a Triangle Area home, now’s a good time to talk through what these shifts mean for your plans. Contact Linda Craft Team Realtors, and let’s take a look at what’s happening in your local market.