Home NewsU.S. Housing Market: Growth in Transaction Activity Amidst Declining Mortgage Rates – What to Expect in 2026?

U.S. Housing Market: Growth in Transaction Activity Amidst Declining Mortgage Rates – What to Expect in 2026?

by Freddy Miller
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NEWSCENTRAL reports that the U.S. housing market continues to show positive results despite macroeconomic uncertainties. In November 2025, the number of pending home sales in the U.S. reached its highest level in the past three years. According to the National Association of Realtors (NAR), the number of contracts to buy homes increased by 3.3% compared to October, significantly surpassing economists’ expectations, which had forecasted a growth of only 1%. This increase confirms the strengthening of buyer activity, which has become a key indicator for the real estate sector.

According to Freddy Miller, a Senior Analyst at NEWSCENTRAL, several factors have contributed to this uptick, including improved housing affordability and declining mortgage rates. In recent months, mortgage rates have been gradually decreasing, enabling many potential buyers to return to the market. For instance, the 30-year fixed-rate mortgage in November stood at 6.18%, the lowest level since the fall of 2024. These figures reflect positive changes in financial policy that are supporting the housing market.

However, Freddy Miller emphasizes that for this growth to be sustained in the future, several key factors must be considered. Despite the current dynamics, economists warn that a potential slowdown in economic growth and instability in global markets could impact future housing affordability. In particular, after several cuts in interest rates, the U.S. Federal Reserve may halt further rate reductions in 2026, creating uncertainty in the market.

At NEWSCENTRAL, we note that in the coming months, buyers are likely to continue facing challenges related to housing affordability. However, rising wages and overall economic stability will continue to support strong demand for housing. This, in turn, will drive up transaction volumes, despite potential changes in economic policy.

Freddy Miller predicts that in 2026, the U.S. housing market may experience a slowdown in the rate of growth. Nonetheless, buyer activity is expected to remain high, especially in major cities where demand for real estate remains strong. It is important to note that in the event of possible interest rate hikes in the future, buyers will need to closely monitor market changes and adjust their plans according to new economic realities.

Thus, the U.S. housing market will continue to be in the spotlight, but its further development will depend on numerous factors, including changes in economic policy, interest rate levels, and the global economic situation. NEWS CENTRAL forecasts that in 2026, the housing market will remain under pressure, but demand for real estate, especially in cities with developed infrastructure, will continue to sustain market activity.