Kevin Sears President | Official website
Home prices increased in 71% of metropolitan markets during the first quarter of 2026, according to a May 5 report from the National Association of Realtors. The association said that out of 235 metro areas, 167 saw price gains, while seven percent experienced double-digit increases.
This trend is significant for homeowners and buyers, as rising home values can affect affordability and housing wealth. The national median single-family existing-home price rose by 0.5% year-over-year to $404,300. However, this was a slower pace than the previous quarter's annual growth rate of 1.2%. Regional data showed that the Northeast had a median price of $506,500 (up 4.9%), the Midwest reached $308,100 (up 3.6%), the South was at $362,300 (up 0.2%), and the West recorded $607,600 (down 2.9%).
"Home prices continued to increase in many markets, boosting housing wealth for most homeowners," said NAR Chief Economist Dr. Lawrence Yun. "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." Yun also said: "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." He added: "Improved affordability is drawing buyers back to the condo market." According to Yun: "Even though mortgage rates are higher than earlier this year, rates remain comfortably below last year's levels," adding that lower mortgage rates could help more buyers qualify for mortgages.
Some large markets saw notable price jumps over one year; Akron (+12%) and Anchorage (+10.4%) led among major cities with increases above ten percent.
Housing affordability improved slightly as well; monthly mortgage payments on a typical single-family home fell by $78 from last quarter and by $140 from last year to reach $1,979 per month with a twenty percent down payment.
The National Association of Realtors functions as the leading trade association for real estate professionals and supports diversity within its membership base according to its official website. The organization encompasses around 1,200 local boards and delivers resources such as research data and advocacy initiatives while maintaining headquarters in Chicago with an additional office in Washington D.C., according to its official website.
Looking ahead at broader implications for buyers and sellers alike: while regional variations persist—especially between affordable Midwestern cities and pricier Western metros—the gradual improvement in affordability may support continued activity across different segments including condominiums.
