U.S. home prices will rise modestly this year and in 2027 as the market remains constrained by high mortgage rates and a shortage of affordable homes that will persist for years, according to housing analysts polled by Reuters.
At a Glance:
- U.S. home prices forecast to rise 1.8% in 2026 and 2.5% in 2027 amid high mortgage rates
- Idaho‘s Treasure Valley saw a 1.5% price increase in Ada County and 6% in Canyon County year-over-year in February
- Housing supply remains tight with about two months of inventory in Ada County and 2.4 months in Canyon County
Housing will not provide a boost to the slowing U.S. economy and there will be no near-term progress in the Trump administration’s aims to revitalize the market through cheaper mortgages, the Feb. 27-March 17 survey released on Tuesday suggested.
The Federal Reserve is increasingly likely to keep interest rates where they are for longer due to discomfort with inflation levels that were already running too high before the U.S. and Israeli war with Iran…