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.

Recently, we’ve seen US consumer confidence dip to a seven-month low, reflecting growing uncertainty about income, business prospects, and the job market in the months ahead. While the present-conditions index actually climbed by roughly 7 points to 121, the expectations gauge fell by about 6 points to 68—dropping below a threshold that’s often linked to recessionary risk. Early in Q3, employers reduced payrolls by 23,000 jobs, nudging unemployment to approximately 4%. Notably, this shift was due more to workers leaving the labor force than to any surge in hiring.

Despite this overall softening in confidence, homebuying expectations only eased slightly and are still trending upward. Around 61% of consumers continue to anticipate higher interest rates. With federal policymakers keeping rates steady and markets showing little sign of immediate relief, it appears that borrowing costs will remain elevated through the end of the year—a key factor for both buyers and sellers.

Drawing on more than three decades navigating Michigan’s dynamic real estate landscape, I find that understanding these trends is crucial for clients and colleagues alike. Whether you’re considering a move, an investment, or simply keeping an eye on the market, staying informed allows for smarter decisions in any environment.

Recently, we’ve seen a notable uptick in housing inventory: in the four weeks ending August 23, new US listings rose by 0.4% week over week, with total homes for sale up 0.5%—the highest levels since early Q2. Yet, even as more choices become available, pending home sales slipped by 1.1% weekly, marking a six-month low. With the median US home-sale price climbing 1.9% year-over-year to over $400K and average mortgage rates hovering around 7%—near a 13-month high—it’s clear that affordability remains a concern for many buyers.

For active buyers, these current conditions have created more leverage to negotiate price cuts or concessions, particularly on properties that have been listed for several weeks. As someone who’s advised clients and professionals alike for over three decades, I’ve seen the benefits of realistic pricing in markets like this; sellers who adjust their expectations often achieve the best outcomes. Navigating these shifts requires both insight and adaptability, qualities I strive to bring to every transaction and every conversation—whether I’m guiding clients in Michigan or sharing best practices on a global stage.

The landscape of luxury home sales across the United States is as diverse as the markets themselves. Recent analysis of public luxury transactions in major metros reveals a remarkable spread—from $3.7 million up to an impressive $130 million. Notably, several leading sales clustered at $47 million, $40.2 million, $40 million, $21.2 million, $19 million, $18 million, and $17.5 million. What stands out to me—having navigated the intricacies of residential, investment, and luxury real estate for decades—is that in four particularly robust markets, even the fifth highest sales surpassed the $10 million threshold. This level of depth in luxury pricing underscores how distinct each metro can be, both in opportunity and in the nuances of negotiating these transactions. One market demonstrated a notably tight range among its top-tier sales, with the top five spanning from $24 million to $40 million. It’s important to remember that this data comes from publicly listed properties—private deals and nondisclosure market sales may reflect even higher or more nuanced figures. As someone who advises clients and educates fellow professionals on emerging trends, I always emphasize the value of understanding both the visible and behind-the-scenes dynamics that shape today’s luxury market.