After years of watching home prices climb, prospective buyers are finally seeing headlines about falling prices.
But does that mean homes are becoming affordable again? And more importantly, should you buy now or wait for prices to drop further?
The answer is a little more complicated than the headlines suggest.
Home Prices Just Recorded a Notable Decline
According to Redfin’s October 29, 2026 housing report, the median U.S. home-sale price was $389,601, down 0.1% compared with the same period last year.
That may sound like a tiny change, but it’s significant: Redfin reported this was the first year-over-year decline in more than three years.
Meanwhile, Realtor.com’s October housing research showed national asking prices falling 2.1% year over year.
These reports measure different things—actual sale prices versus listing prices—but both suggest that the rapid price growth buyers experienced in recent years has lost momentum.
Does This Mean the Housing Market Is Crashing?
Not necessarily.
A 0.1% national decline isn’t a housing crash. It represents a modest shift in a market where affordability remains a major challenge.
And here’s something important: there really isn’t one national housing market.
Redfin’s October report found that home-sale prices were down 5.1% year over year in Seattle and 4.6% in Austin. Meanwhile, prices increased 4.9% in Cleveland.
What happens in your neighborhood may look very different from what happens nationally.
That’s why local comparable sales, inventory, and property conditions matter far more than any single national headline.
Lower Home Prices Don’t Always Mean Lower Payments
Even when purchase prices decline, mortgage payments don’t necessarily follow.
Interest rates, property taxes, homeowners insurance, mortgage insurance, and other expenses all influence the total cost of owning a home.
In fact, Redfin’s October 29 report estimated the typical monthly mortgage payment at $2,786, up 10.7% from a year earlier despite the slight decline in home prices.
That illustrates why focusing exclusively on purchase price can be misleading.
Should You Wait for Prices to Fall Further?
Possibly—but trying to time the bottom of the housing market is difficult.
If prices decline further, waiting could benefit you. But inventory, financing costs, and your personal circumstances could also change.
Instead of trying to predict the market, ask yourself:
- Can I comfortably afford the full monthly housing payment?
- Am I planning to stay in the home long enough to justify buying?
- Will I have adequate savings remaining after closing?
A good home purchase should make sense based on your finances today, not depend on a future price decline.
Start With the Numbers
Before deciding whether to buy or wait, explore how different purchase prices, down payments, and interest-rate assumptions could affect your monthly budget.
Try the Duran Lending Team Mortgage Payment Calculator to compare scenarios and get a clearer picture of what homeownership might cost.
Let’s Talk About Your Homebuying Goals
At the Duran Lending Team, we believe a mortgage should fit your life—not the other way around.
Whether you’re ready to buy or simply exploring your options, we’re happy to help you understand the numbers and make an informed decision.
Schedule a Consultation With the Duran Lending Team
For educational purposes only. Housing market conditions vary by location. Mortgage rates, loan terms, and eligibility depend on individual circumstances. Calculator results are estimates, not loan quotes or approvals. This is not a commitment to lend.
Sources: Redfin Housing Market Update, October 29, 2026 · Realtor.com Weekly Housing Trends, October 22, 2026
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