First American’s Real Home Cost Index showed buying power increasing as income growth and lower rates outpaced near‑flat price gains, echoing more comprehensive data on stabilizing costs and higher stock in parts of the nation.
At the exact same time, typical 30‑year rates dipped below 6% in late February 2026 for the very first time since 2022, providing buyers an uncommon price tailwind heading into spring.
Spending plans surpassed sticky asking prices
“Spring break may be showing up a little early for home buyers this year,” Williamson stated.
“Late in 2015, house-buying power went beyond the nationwide typical list price for the first time in more than 3 years, which could support a more dynamic spring home-buying season than over the last few years, as more homes fall within buyers’ budgets.”
For many homes, the choice to purchase hinged less on the asking price and more on whether the month-to-month mortgage payment fit within their budget plan, a computation driven by overall house-buying power