Fannie Mae’s 2026 Outlook: Falling Rates, Cooler Prices, More Sales?

Good news, finally: Fannie Mae’s latest forecast points to easing mortgage rates and slower home-price growth—conditions that could tip the market back toward first-time buyers. In this episode, Tim Lucas and Craig Berry unpack what the August Housing Forecast could mean for your budget and timing. You’ll learn:Rates Drifting Down: Why 30-year fixed rates could slide toward ~6.1% by end of 2026, with averages stepping down from ~6.7% this quarterPrice Growth Cools: How quarterly gains near 3.1% could decelerate to ~1.1% by 2026—giving wages a chance to catch upSales Rebound: The case for a 10.3% jump in total home sales next year after a slight 0.1% dip this year, plus expectations for more new constructionWhat Must Go Right: The assumptions behind the outlook—tame inflation after brief bumps, stable jobs, manageable deficits/tariffs, and meaningful Fed cutsBuyer Takeaways: Why gradual improvement beats trying to “time the bottom,” and how softer prices + lower rates can translate into tens of thousands in long-run savingsRead the full article:https://www.mortgageresearch.com/articles/fannie-mae-housing-forecast-for-2026/