WILL REAL ESTATE REBOUND IN 2026?
This Realtor sees positive signs for the new year. We are slowly coming out of the doldrums that have plagued sellers for the past couple of years.
Here is an example of how slow the Whiskey Creek real estate market has been as we enter 2026. In April 2024, there were 33 homes listed as active in the MLS with another 16 homes pending sale and 29 that had sold in the previous four months. That means we had a reasonable 4.6-month supply of homes on the market at that time.
A year later, in April 2025, the number of active homes had ballooned 64% to 54 with another 12 homes pending sale. Only 19 had sold in the previous four months, 34% fewer than the year before. This gave us a whopping 11-month supply. A sure indication of a buyer’s market.
By early December 2025, the number of active homes had declined 26% from April to 40 active homes, three more were pending sale, and 21 homes had sold in the previous four months. We are back to a more reasonable 7.6-month supply of homes for sale.
The market for sellers improved, partially because homes were selling, but also because 18 homes came off the market due to expiration or termination of the listing. Some of those relisted, but all this combined to help the real estate market move from a solid buyer’s market to a more balanced market. Even though the market still favors buyers, buyers can no longer be as fussy or negotiate for as many favorable terms.
Another long-awaited move has seen mortgage interest rates decline to just above 6 percent, down from nearly 7 percent. Additionally, the insurance industry is now more favorable for homeowners due to increased competition and fewer storms and claims. Thankfully, we escaped this past hurricane season with none making landfall in the U.S.
If you are a potential buyer who has been waiting on the sidelines for the most opportune buying opportunity, you may have missed the bottom. If history is a guide, now may be the best opportunity to make your move for a long while.
On the other hand, sellers who have been waiting for the market to improve must realize that home values are still a long way from the frothy days of yore. Savvy sellers are achieving success by pricing right and making sure that their marketing is professional grade.
One thing is for sure. The snow is still flying up north, and the sun and sand are still calling the snowbirds. We couldn’t keep them away even if we wanted to. Come to think of it, I think that’s the reason my family moved here … 30b years ago!
If you have any questions or comments about this article or other real estate issues, please contact Bob Oxnard at [email protected].
