22 U.S. Cities Where Home Prices Are Expected to Drop in 2026

A new 2026 housing forecast shows that home values are expected to decline in 22 U.S. cities, marking a notable shift after years of rapid price growth.

For homeowners, the outlook may feel uncertain.

Falling prices can reduce equity and make selling more difficult.

For buyers and renters, however, the downturn could open the door to more affordable opportunities—especially in markets that were previously too expensive.

Why Prices Are Falling

Experts point to three main factors:

• Higher mortgage rates making homes less affordable

• Increased inventory in certain regions

• Economic uncertainty leading many buyers to pause major purchases

With demand cooling and supply rising, prices are adjusting downward.

Read: Best Places to Retire for Under $1,500 a Month in the U.S. and Abroad
 

Who Benefits?

• Buyers may see better deals and improved negotiating power.

• Renters could benefit if lower prices lead to steadier or reduced rental costs.

• Sellers may need to price competitively or adjust expectations.
   

What You Should Do Now

• Homeowners: Review your timeline. If you must sell, be prepared for pricing pressure. If not, holding may be the better option.

• Buyers: This could be a strategic time to enter the market, especially if you're planning long-term.

The 22 Cities Forecasted to See Price Drops in 2026

1. Seattle

2. Spokane

3. Boise City

4. Denver

5. Colorado Springs

6. Tucson

7. Phoenix

8. Sacramento

9. Stockton

10. San Francisco

11. Omaha

12. Des Moines

13. Atlanta

14. Raleigh

15. Jacksonville

16. Deltona

17. Orlando

18. Tampa

19. Lakeland

20. Palm Bay

21. North Port

22. Cape Coral

-

Don’t miss out on the latest updates and insider tips that can supercharge your financial and entertainment life.

Subscribe now to get fresh, actionable insights straight to your inbox—be the first to know and stay ahead!