As fun as it is to look back in time, you better believe we’re laser-focused on what 2026 will bring. We don’t have a working crystal ball, but it won’t stop us from sharing the three predictions we have for 2026:
Emotions and sentiment will continue to drive buyer behavior. We have spoken about this at length…when the world at large feels uncertain and shaky, most people pull back from making big moves.
When it comes to buying and selling a home, if it’s an option to “hold” and wait until things feel more stable and predictable, many will opt to wait and watch.
We see this in the marked low inventory with sellers electing to wait it out. We see it in buyers dipping a toe into the market and waiting for “the perfect house”.
Our advice: if you are in a position to buy or sell, now is an excellent time to take advantage of others’ uncertainty. Low inventory means sellers are doing very well with little competition. As a buyer, if you can narrow your focus to homes that will work in the long-run (even if they need a little work), you’ll do very well as other buyers wait for the “perfect” house to emerge.
Retirees, down-sizers, and Boomers will reign. A few years ago, when interest rates were historically low, buyers of all life stages had access to affordable resources to make competitive offers. The days of the sub-3% interest rates are over, and cash has emerged as king.
Buyers flush with cash for a home purchase - either for a hearty down-payment or a full-cash offer - are able to push themselves on offer day and emerge as the most competitive. And those buyers are typically (not always!) folks who have bought and sold homes before, have saved for an extended period of time, and have full careers behind them. In other words, Boomers.
Combine cash with added motivation and you’re suddenly in 2026. This generation is eager to move near grandchildren and excited about a smaller, move-in ready home with few/no stairs located near grocery stores, coffee shops, and bookstores. They’re winning out every time.
Our advice: if you are a lucky buyer who can compete with cash, mazel tov! But if you’re like most buyers and reliant on a hearty loan to buy, keep your head up. Make smart compromises (like stairs to enter or a home with laundry located on a different level)...think about what your competition will fight for and decide if you want to also engage in that fight or prioritize other features. Creative financing will be important, and work with your lender on options to make you competitive.
Compromises will be made when a buyer or seller is making a move out of necessity and not choice. Here’s where it gets hard…when life is “life-ing” and you are buying or selling because of circumstance. We’ve seen sellers who bought at the height of the market make the tough choice to list their home now and roll the dice on whether or not they’ll break even in a home sale. We’ve seen buyers who sat on the sidelines waiting for the “right time” getting off the fence now that they’re pregnant with their second kiddo and that condo just won’t work any longer.
We’re glass-half-full people, so here’s the opportunity…in a long history of a seller’s market, these moves represent a moment in time when both parties make compromises to make a deal happen. Sellers are conceding on sales price (within reason) to make the sale happen so that they can move forward with their big move and next chapter. Buyers are accepting homes of varying conditions and accepting the higher cost to borrow money to make their big move.
Our advice: if life is pushing you into a home purchase or sale, keep your chin up. We have been able to squeeze “wins” out of every scenario and any fears you may have that have stopped you in the past may not reflect reality. We’re here for a reality check - one thing you can count on us for is the truth, good or bad! - so you already have a counselor in your corner. Call us if you’re in a tough spot and we’ll help you find a way forward.
