Home Prices Rose in 71% of Markets in Q1 2026, Data Shows

Home prices rose in nearly three out of four metro areas in Q1 2026, which means a lot of people ended March with a little more equity than the same time last year. 

But not everyone is feeling it equally. A handful of markets are on fire, posting double-digit price gains, while others are cooling off. 

The Q1 2026 home price report from the National Association of REALTORS® (NAR) tracked 235 metro areas and found that 71% saw home prices increase year-over-year last quarter. 

Here’s a breakdown of what the data shows, and what’s worth knowing before your next client conversation.

The National and Regional Price Picture

The national median single-family existing-home price landed at $404,300 in Q1 2026, up 0.5% year-over-year. That’s a noticeable slowdown from the 1.2% annual growth recorded in Q4 2025, but it’s still growth. 

For homeowners, it’s a number moving in the right direction, albeit more slowly.

Regionally, the Northeast and Midwest continued to lead on price appreciation, driven by persistent inventory shortages and relatively affordable entry points. The West, on the other hand, was the only region to post a year-over-year decline.

• Northeast: $506,500 (+4.9%)
• Midwest: $308,100 (+3.6%)
• South: $362,300 (+0.2%)
• West: $607,600 (-2.9%)

NAR Chief Economist Dr. Lawrence Yun summed up the regional differences this way: 

“Home prices continued to increase in many markets, boosting housing wealth for most homeowners. Gains were particularly solid across metro areas in the Northeast, where inventory shortages persist, and in the Midwest, where home prices remain relatively affordable. However, the expensive West region did not see an increase in sales.”

It’s also worth flagging one corner of the market that’s been under pressure for a while: condos.

In Dr. Yun’s words:

“The condominium market, which weakened sharply last year, is showing signs of stabilization and, in some metro areas, even outperforming the single-family market in terms of price gains. Improved affordability is drawing buyers back to the condo market.”

Where Prices Rose (and Fell) the Most

Not every market is following the national trend, and that’s exactly the kind of context your clients need heading into a transaction. 

Seven percent of metro areas posted double-digit price gains in Q1 2026, up from 5% the quarter before. The markets leading that charge are mostly concentrated in the Midwest and Northeast, which tracks with the regional data from the previous section.

Here are the 10 markets with the biggest year-over-year price increases:

1. Akron, OH: +12.0%
2. Anchorage, AK: +10.4%
3. Albany-Schenectady-Troy, NY: +9.3%
4. Trenton, NJ: +9.2%
5. Davenport-Moline-Rock Island, IA-IL: +9.2%
6. Canton-Massillon, OH: +7.9%
7. Milwaukee-Waukesha-West Allis, WI: +7.7%
8. St. Louis, MO-IL: +7.4%
9. Reading, PA: +7.4%
10. Rochester, NY: +7.2%

On the other end of the spectrum, 27% of markets saw declining prices in Q1 2026. That’s up from 25% last quarter and 17% one year ago, a sign that softening is becoming more widespread, even if it’s still a minority of markets overall.

The most expensive markets in the country are concentrated almost entirely in California, and several of them are actually losing value year-over-year.

1. San Jose-Sunnyvale-Santa Clara, CA: $2,030,000 (+0.5%)
2. Anaheim-Santa Ana-Irvine, CA: $1,442,900 (-0.5%)
3. San Francisco-Oakland-Hayward, CA: $1,350,000 (+2.3%)
4. Urban Honolulu, HI: $1,175,100 (+0.9%)
5. San Diego-Carlsbad, CA: $1,050,000 (+1.3%)
6. San Luis Obispo-Paso Robles, CA: $956,800 (+0.4%)
7. Oxnard-Thousand Oaks-Ventura, CA: $944,200 (+1.4%)
8. Salinas, CA: $943,500 (-1.2%)
9. Los Angeles-Long Beach-Glendale, CA: $858,500 (-0.5%)
10. Naples-Immokalee-Marco Island, FL: $845,000 (-2.3%)

The national lists are useful for perspective, but the local data is where the real conversation starts. If a market is seeing price appreciation, that’s something homeowners in your area will want to know, especially if they’re looking to sell. 

If it’s one of the markets where prices have softened, that’s an equally important conversation to have with buyers who’ve been waiting on the sidelines, as well as sellers who may not be aware of how this trend could impact their home’s sale price. 

What This Means for Buyers, Including First-Timers

Affordability improved across the board in Q1 2026, and the numbers are worth walking through with clients who’ve been hesitant to make a move.

For a typical existing single-family home with a 20% down payment, the monthly mortgage payment came in at $1,979 in Q1 2026. 

That’s down $78 from last quarter and down $140 from this time last year. The average share of income that typical families spent on mortgage payments dropped to 21.5%, compared to 22.9% last quarter and 24.3% one year ago.

First-time buyers are seeing similar relief:

• Typical starter home price: $343,700
• Monthly mortgage payment with 10% down: $1,943 (down $76 from last quarter, down $135 from last year)
• Share of income spent on monthly mortgage payments: 32.5% (down from 34.6% last quarter and 36.6% last year)

That’s a meaningful improvement in a relatively short period of time, and Dr. Yun pointed to mortgage rates as a key part of the story: 

“Even though mortgage rates are higher than earlier this year, rates remain comfortably below last year’s levels. Lower mortgage rates will allow more potential buyers to qualify for and obtain a mortgage.”

For agents working with first-time buyers who’ve been sitting on the fence, that’s a data point worth leading with. The monthly payment on a starter home is the lowest it’s been in over a year, and the share of income required to carry that payment is trending in the right direction.

The overall picture from NAR’s Q1 2026 report shows a housing market that’s still moving but in a way that looks different from one region (and metro area) to the next. Prices are up in most markets and affordability is getting better, but the national numbers only go so far. 

What your clients are actually asking is whether any of this applies to them. 

Whether they’re thinking about listing or still on the fence about buying, you’re the one who can take this data and make it mean something for their situation.