As a new year approaches, many home buyers and sellers are wondering what 2026 will hold for the housing market. After several years of high prices and elevated mortgage rates, experts expect a slow but meaningful shift toward better affordability and a more balanced market. Forecasts suggest that mortgage rates will remain a little above 6 percent on average, but should ease slightly from recent highs, giving buyers improved purchasing power.

Nationally, economists anticipate a gradual increase in home sales, along with modest home price growth rather than the sharp spikes seen during the pandemic years. Redfin and other analysts describe 2026 as the start of a “reset,” where incomes begin to grow faster than home prices and the market moves closer to pre-pandemic patterns. That means more opportunities for buyers who were previously priced out, and a somewhat more predictable environment for sellers.

Even in a stabilizing market, conditions can vary widely from one neighborhood to another. Some areas may see price softening, while others remain highly competitive due to tight inventory or strong job growth. This is where a knowledgeable real estate agent becomes especially valuable. For buyers, an agent can interpret local trends, advise on realistic price ranges, and help structure offers that balance competitiveness with protection, including inspection and financing contingencies. They can also connect clients with trusted lenders who follow the latest loan and rate programs.

For sellers, an agent’s insight is just as important. Pricing a home correctly in a market that is cooling slightly but still expensive takes experience and careful analysis of recent sales. Agents help prepare homes for listing, coordinate professional photos, manage showings, and negotiate with buyers to secure the strongest combination of price and terms.

As 2026 approaches, the housing market appears to be moving toward a more sustainable pace rather than another dramatic swing. Whether you hope to buy or sell, partnering with an experienced real estate professional can turn a complex landscape into a clear, manageable path toward your next move.

For more information, and to access the best resources to help you buy or sell a home, visit AddressNIllinois.com. You’ll find expert guidance and tools to support you through every step of the process.