Housing Hot Spots 2026: The Markets Poised for New Buyer Opportunities
After several years of constrained affordability, historically low inventory, and a locked-in homeowner population, the 2026 housing market is finally entering a new phase with more opportunities for buyers. A meaningful decline in mortgage rates, modest but broad improvements in for-sale inventory, and a shifting alignment between local incomes and listed home prices are expected to help many buyers and sellers in the coming year.
Each metro area in this year's Housing Hot Spots report stands out for a combination of strong demand potential, projected improvements in affordability, and, most critically, a housing stock that is increasingly matching the budgets of the buyers who are returning to the market.
The metro areas explored in this report outperform the U.S. at least on five of the ten indicators, have populations above 250,000, and demonstrate meaningful 2026 opportunity for homebuyers and REALTORS®.
Top 10 Housing Market Indicators
- Millennial household presence: Markets with a strong base of younger households have more built-in demand as rates fall.
- Household income growth: Rising incomes expand purchasing power and support sustainable price growth.
- Job growth: Financial stability directly supports housing demand.
- Increase in qualified households with lower rates: Some markets see a large jump in newly qualified buyers when rates decline
- Strong domestic migration as a share of the population: Areas gaining residents tend to see stronger sales, household formation, and upward price pressure.
- Share of sales with price cuts: A measure of seller expectations and how close list prices are to meeting buyer budgets.
- Listings aligned with incomes: Inventory returning at the price points where local incomes can support a purchase.
- Mortgage payment vs. rent: Markets where buying is closing the gap with renting experience more renter-to-owner transitions.
- Single-family permits growth: More options for buyers to come to the market.
- Growth in mortgage originations: Sign of improving buyer activity.
Top 10 Housing Markets in 2026
Charleston, SC
Charleston is fast-growing market where inventory is growing at the right price points. Charleston's momentum in 2026 will come from renewed affordability meeting strong demographic demand.
- 20,000+ additional households in Charleston would qualify for a median-priced home with mortgage rates easing to 6%
- Millennial households represent 36.0% of all households in the area
- Income growth is 6.0% higher than the previous year's
- 3.2% job growth from a year ago
- Net domestic migration accounts for 1.3% of the total population
- Share of sales with price cuts was at 50.0% as of October 2025
- Listings increasingly aligned with local incomes at 9.1% higher than a year ago
Charlotte, NC-SC
Charlotte is a magnet for millennials and high-skilled job growth. Charlotte's winning formula in 2026 is simple: young buyers, strong jobs, and more listings where people need them.
- 52,000+ additional households in Charlotte would qualify for a median-priced home with mortgage rates easing to 6%
- Millennial households represent 36.6% of all households in the area
- Income growth is 5.8% higher than the previous year
- 2.5% job growth from a year ago
- Net domestic migration accounts for 0.8% of the total population
- Listings increasingly aligned with local incomes at 5.5% higher than a year ago
Columbus, OH
Columbus is showing steady growth, high affordability, and better-aligned inventory. Columbus pairs affordability with rising incomes, a powerful combination for 2026.
- 41,000+ additional households in Columbus would qualify for a median-priced home with mortgage rates easing to 6%
- Millenial households represent 37.5% of all households in the area
- Income growth is 7.2% higher than the previous year
- 1.5% job growth from a year ago
- Better match between home prices and incomes: 0.76 score compared to 0.67 nationally
- 1.1% growth in single-family permits compared to last year
- 2.5% more mortgage originations in 2024
Indianapolis, IN
Indianapolis is balanced, steady, and affordable. Indianapolis offers one of the clearest affordability paths for 2026 buyers.
- 42,700+ additional households in Indianapolis would qualify for a median-priced home with mortgage rates easing to 6%
- Millennials households represent 37.0% of all households in the area
- 1.1% job growth from a year ago
- Better match between home prices and incomes: 0.89 score compared to 0.67 nationally
- 7.5% growth in single-family permits compared to last year
- 4.8% more mortgage originations in 2024
Jacksonville, FL
Jacksonville is a market where migration and inventory meet affordability. Jacksonville is one of the Florida markets where both affordability and inventory are improving at the same time.
- 39,700+ additional households in Jacksonville would qualify for a median-priced home with mortgage rates easing to 6%
- Millennial households represent 34.2% of all households in the area
- Income growth was 6.5% higher than the previous year
- 0.7% job growth from a year ago
- Net domestic migration accounts for 1.1% of the total population
- Better match between home prices and incomes: 0.73 score compared to 0.67 nationally
Minneapolis-St. Paul, MN-WI
Minneapolis-St. Paul is a market where lower rates unlock significant demand. Minneapolis is one of the nation's most responsive markets to lower rates — and 2026 will show it.
- 81,000+ additional households in Minneapolis-St. Paul would qualify for a median-priced home with mortgage rates easing to 6%
- Millennial households represent 36.1% of all households in the area
- 0.8% job growth from a year ago
- Better match between home prices and incomes: 0.78 score compared to 0.67 nationally
- 5.3% growth in single-family permits compared to last year
- 5.7% more mortgage originations in 2024
Raleigh, NC
Raleigh is showing strong improvements in inventory that people can afford to buy. Raleigh's combination of fast-growing incomes and better-aligned inventory makes it one of the clearest opportunity markets of 2026.
- Nearly 27,000 additional households in Raleigh would qualify for a median-priced home with mortgage rates easing to 6%
- Millennial households represent 37.7% of all households in the area
- Income growth 6.3% higher than the previous year
- 1.3% job growth from a year ago
- Net domestic migration accounts for 1.1% of the total population
- Better match between home prices and incomes: 0.77 compared to 0.67 nationally
Richmond, VA
Richmond offers a stable market positioned to outperform in 2026. Richmond's strength lies in its stability — and in 2026, that stability becomes opportunity.
- 25,500+ additional households in Richmond would qualify for a median-priced home with mortgage rates easing to 6%
- Millennial households represent 34.5% of all households in the area
- 2.1% job growth from a year ago
- Fewer price cuts than the national average: 43.8% as of October 2025
- Better match between home prices and incomes: 0.71 compared to 0.67 nationally
- 3.1% more mortgage originations in 2024
Salt Lake City, UT
Salt Lake City is a young, fast-growing, and rate-sensitive area. Salt Lake City's youthful demographics and improving inventory make it one of the biggest beneficiaries of lower rates in 2026.
- Nearly 25,000 additional households in Salt Lake City would qualify for a median-priced home with mortgage rates easing to 6%
- Millennial households represent 40.9% of all households in the area
- Income growth 6.5% higher than the previous year
- 1.8% job growth from a year ago
- Listings increasingly aligned with local incomes: 20.7% higher than a year ago
- 9.8% more mortgage originations in 2024
Spokane, WA
Spokane is a Western market with more opportunities in 2026. Spokane is one of the few Western metros where both affordability and inventory are trending in the right direction.
- 9,500+ additional households in Spokane would qualify for a median-priced home with mortgage rates easing to 6%
- Millennial households represent 34.3% of all households in the area
- Income growth: 15.8% higher than the previous year
- Fewer price cuts than the national average: 54.0% as of October 2025
- Listings increasingly aligned with local incomes: 5.3% higher than a year ago
- 4.3% more mortgage originations in 2024