Home prices increased in 78% of metro areas in third quarter of 2026

Home prices rose in 78% of metro markets during the third quarter of 2026, according to the National Association of REALTORS® (NAR) latest quarterly report. This is down from 80% in the second quarter. Four percent of metro areas recorded double-digit price gains, down from 5% last quarter.

The national median single-family existing-home price rose 1.7% year over year to $432,900, matching the revised annual growth rate in the second quarter.

“Even with affordability challenges causing the housing market to stagnate, home prices continue to set record highs in most parts of the country,” said NAR Chief Economist Lawrence Yun. “Homeowners are the beneficiaries of the price gains. Over the past seven years, the average house has appreciated by $146,000.”

Median existing single-family home price by region (year-over-year change):

• Northeast: $561,500 (+4.0%)
• Midwest: $342,500 (+3.6%)
• South: $374,900 (+1.0%)
• West: $629,000 (-0.6%)

“Throughout the last year, home prices declined in many Florida markets. This quarter, however, homes in nearly all Florida markets are showing price gains,” Yun said. “In a similar vein, price declines in other markets may also be brief if the local job market and economy are solid. Many markets in the Midwest offer exceptional value with more affordable homes, making homeownership more attainable. Meanwhile, the artificial intelligence technology boom continues to push Bay Area home prices higher, keeping the region the most expensive in the country.”

10 large markets with the biggest year-over-year median price increases

• Gulfport-Biloxi-Pascagoula, Miss. (+11.0%)
• Rochester, N.Y. (+10.9%)
• Jackson, Miss. (+10.1%)
• Beaumont-Port Arthur, Texas (+9.9%)
• York-Hanover, Pa. (+9.2%)
• Grand Rapids-Wyoming, Mich. (+8.7%)
• Cleveland-Elyria, Ohio (+8.6%)
• Fort Wayne, Ind. (+8.5%)
• Youngstown-Warren-Boardman, Ohio-Pa. (+7.6%)
• Hartford-West Hartford-East Hartford, Conn. (+7.5%)

10 most expensive markets (median sales price, with year-over-year price change)

• San Jose-Sunnyvale-Santa Clara, Calif. ($1,920,000; +0.3%)
• Anaheim-Santa Ana-Irvine, Calif. ($1,470,000; +5.0%)
• San Francisco-Oakland-Hayward, Calif. ($1,350,900; +2.7%)
• Urban Honolulu, Hawaii ($1,199,700; +6.4%)
• San Diego-Carlsbad, Calif. ($1,075,000; +6.5%)
• Los Angeles-Long Beach-Glendale, Calif. ($958,500; +0.5%)
• San Luis Obispo-Paso Robles, Calif. ($956,300; +2.6%)
• Salinas-Monterey, Calif. ($948,900; -7.0%)
• Oxnard-Thousand Oaks-Ventura, Calif. ($940,000; +0.5%)
• Bridgeport-Stamford-Norwalk, Conn. ($874,200; +3.5%)

Housing affordability

Twenty-one percent of markets experienced declining home prices, up from 20% last quarter. The monthly mortgage payment on a typical existing single-family home with a 20% down payment was $2,251, a $48 increase from last quarter and a $69 increase from last year.

The average share of income that typical families spent on mortgage payments was 24.1%, up from 23.9% last quarter but down from 24.5% last year.

First-time buyers

The monthly mortgage payment for a typical starter home valued at $368,000, with a 10% down payment, was $2,208, up $46 from last quarter and up $67 from last year. The share of income first-time buyers spent on monthly mortgage payments was 36.3%, up from 36.0% last quarter but down from 37.0% last year.

About the National Association of REALTORS®

The National Association of REALTORS® (NAR) is involved in all aspects of residential and commercial real estate. The term REALTOR® is a registered collective membership mark that identifies a real estate professional who is a member of NAR and subscribes to its strict Code of Ethics. For free consumer guides about navigating the homebuying and selling transaction processes—from written buyer agreements to negotiating compensation—visit facts.realtor.