As someone who’s spent over three decades guiding clients and professionals through the evolving landscape of real estate, I pay close attention to how home values move—both on paper and in real terms. Recently, the US housing market has continued its nominal climb: in Q2 2026, national price indices reported home values rising, with one federal index holding steady month-over-month from mid to late Q2 after adjusting for seasonal patterns. Year-over-year growth edged up to about 1.5% by late Q2—an improvement from roughly 1% earlier—but still lagged behind inflation, which hovered around 3.5%. That means, after factoring in inflation, real home values have now dipped for the 13th consecutive month. The upside? Slower inflation and stronger nominal gains have helped ease the pace of this erosion. It’s worth noting that one key federal measure has still shown positive annual appreciation every quarter since early 2012—a testament to the resilience of nominal prices even in a challenging environment. As we move into the latter half of the year, affordability remains front and center: typical monthly payments on existing single-family homes rose again, making it even tougher for first-time buyers to step into the market. Drawing on my experience in residential, investment, and luxury real estate, I see these trends as essential context for both seasoned investors and those just beginning their real estate journey.
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