July 10, 2026
The median price of existing homes in the United States climbed to $440,660 in June, up 1.8 percent from $432,700 a year earlier, according to new data from the National Association of Realtors. That marks 36 consecutive months of rising home prices, a streak that has fundamentally reshaped what "affordable" even means in most parts of the country.
According to CBS News, fewer than four in ten non-homeowner households can afford a typical starter home priced around $200,000, based on data from LendingTree. Meanwhile, Redfin estimates that a household needs an annual income of roughly $117,000 just to afford the average home in today's market.
Broken down by region, the price differences are significant. Single-family homes in the Northeast carry a median price of $564,800, while the West sits even higher at $633,600. The Midwest remains comparatively more affordable at $346,600, with the South close behind at $377,700. Condos and co-ops nationally are running a median of $380,000.
As PNC economist Ershang Liang put it, housing affordability remains under pressure from slowing wage growth paired with continued home price appreciation.
This is not a new story, but it is one worth understanding. Home prices have generally trended upward for decades, with the notable exception of the crash tied to the 2008 to 2009 financial crisis. What changed dramatically was the pandemic era, when the Federal Reserve slashed interest rates to support the economy and buyer demand surged while housing supply simply could not keep pace.
That supply and demand imbalance never fully corrected itself, and it is a big part of why prices have kept grinding higher even as mortgage rates have remained elevated compared to the ultra low rates of a few years ago.
There is a major piece of legislation working its way toward becoming law that aims to address exactly this problem. The 21st Century ROAD to Housing Act is designed to lower home prices over time by removing regulatory barriers to new construction, restricting large institutional investors from buying up single-family homes, and encouraging local zoning reforms that make it easier to build.
The bill passed Congress with rare bipartisan support, though its path to becoming law has been anything but smooth.
If you are a buyer, this data is a reminder that timing the market perfectly is nearly impossible, and waiting for prices to drop significantly has not paid off for most people over the last several years. Getting pre-approved, understanding your true budget, and working with a broker who can help you find opportunities in a competitive market matters more than ever.
If you are a seller, strong price data like this is generally good news for you, though it also means buyers are more price sensitive and better informed than ever. Pricing your property accurately from day one, rather than testing the market with an inflated number, tends to produce the best results.
Either way, understanding where the market actually stands, rather than relying on assumptions, is the first step to making a smart move.
Disclaimer: This content is intended for informational and educational purposes only and is not intended to be construed as legal, tax, financial, or insurance advice. Every property and tax situation is unique. Please consult a licensed attorney, CPA, or tax professional regarding your specific circumstances before making any decisions related to property improvements, tax assessments, or real estate transactions. Mohammed M. Rahman is a licensed real estate broker in New York. Contact: Mo@ClosedByMo.com.
