It’s been another eventful quarter for the US housing market. While home prices on paper continued their upward climb in Q2 2026, a closer look at federal data shows a more complex picture beneath the surface. Although a national index reported annual appreciation of about 1.5% in late Q2—an improvement from roughly 1% earlier in the quarter—this is still nearly 2 percentage points behind the current inflation rate of around 3.5%. That means, even as nominal prices appear stable, the real value of homes has actually slipped for the 13th month in a row. The erosion is slowing, thanks to lower inflation and stronger nominal gains, but it’s not gone. Interestingly, one federal index has recorded positive annual appreciation every quarter since early 2012, underscoring the market’s long-term resilience—even when inflation is factored in. As we head into the latter half of the year, affordability remains a key concern: typical monthly payments on existing single-family homes have risen again, making the path to homeownership especially challenging for first-time buyers. In Greater Boston and throughout Massachusetts, I see these trends playing out daily as clients navigate buying, selling, or relocating. My aim is always to help you make informed decisions, whether you’re entering the market or planning your next move.
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