Asking Prices Have Dropped or Held Flat for 30 Straight Weeks. Is the Market Finally Shifting in Buyers’ Favor?

Inside Lending for For the week of May 26, 2026

QUOTE OF THE WEEK

“You can learn many things from children. How much patience you have, for instance.”—Franklin P. Jones, American writer and humorist

NATIONAL MARKET UPDATE

Housing inventory continued to rise last week, remaining above year-ago levels as sellers gradually reengage with the market. Homes are still selling at a pace close to last year, helping keep supply and demand relatively balanced this spring.

Builder confidence improved modestly in May, though elevated mortgage rates and affordability pressures continue weighing on broader housing demand. Economic uncertainty and borrowing costs remain key challenges for the new-home market.

Stock markets continued climbing despite rising bond yields, supported by strong corporate earnings and resilient economic growth. Investors remain focused on inflation trends, Fed policy expectations, and the impact of higher energy prices on rates.

REVIEW OF LAST WEEK

RALLY PUSHES ON…Stocks extended their gains last week as investors continued responding positively to strong earnings, resilient economic data, and improving confidence around long-term growth prospects.

Bond yields moved higher as markets reacted to stubborn inflation data, rising oil prices, and continued uncertainty surrounding the broader economic outlook.

Even with elevated rates and broader economic pressures, the economy continues showing resilience. Consumer spending remains stable, businesses are still investing, and housing activity is benefiting from improving inventory conditions.

The week ended with the Dow up 0.6%, to 50,580, the S&P 500 up 0.4%, to 7,473, and the Nasdaq up 0.2%, to 26,344.

Bond markets remained volatile as investors balanced stronger economic growth against inflation and debt concerns. Mortgage rates continued hovering above 6.5%, keeping affordability pressures elevated for some buyers.

DID YOU KNOW…Asking prices have now declined or remained flat for 30 consecutive weeks, signaling a meaningful shift toward more buyer-friendly pricing conditions across many markets.

THIS WEEK’S FORECAST

PCE INFLATION, GDP, CONSUMER CONFIDENCE…Markets will focus on inflation data, consumer confidence readings, and updated GDP estimates for signals on economic momentum and future interest rate direction. PCE inflation remains one of the Federal Reserve’s most closely watched measures. While higher rates continue pressuring affordability, resilient growth and steady buyer demand are helping support broader housing activity heading into summer.

FEDERAL RESERVE WATCH

Forecasting Federal Reserve policy changes in coming months. Markets continue pricing in a steady Fed policy path as inflation remains elevated and economic growth holds firm. Policymakers are expected to wait for clearer signs of cooling prices before considering any meaningful shift in rates. Note: In the lower chart, the 1.9% probability of change means there’s a 98.1% probability the rate will stay the same. Current rate is 3.50%–3.75%.

AFTER FOMC MEETING ON: CONSENSUS Jun 17th = 3.50%-3.75%

Jun 29th = 3.50%-3.75%

Sep 16th = 3.50%-3.75%

Probability of change from current policy:

AFTER FOMC MEETING ON: CONSENSUS

Jun 17th = 1.9%

Jun 29th = 10.2%

Sep 16th = 26.6%

BUSINESS TIP OF THE WEEK

Always do the right thing—for your clients and employer (as well as for your family and friends, of course). Acting with integrity greatly reduces the number of things you’ll regret doing, both professionally and personally.

Ready to Make Your Move? Let’s Talk Strategy.

Markets are shifting — inventory is up, asking prices are softening, and the Fed is holding steady. That combination creates real opportunity for buyers and homeowners who are prepared.

Whether you’re looking to buy your first home, upgrade, or explore whether a refinance makes sense right now, a quick Mortgage Strategy Call can give you the clarity to move with confidence.

We’ll look at where rates are headed, what you qualify for today, and how to position yourself for the best possible outcome — whatever the market does next.

Schedule Your Mortgage Strategy Call → kevinbrierton.com/call

No pressure. No obligation. Just a straightforward conversation about your goals and what’s possible in today’s market.

Kevin Brierton | Branch Manager | Certified Mortgage Planning Specialist | NMLS# 599873

Call or Text: 480-553-8770 | kevin@kevinbrierton.com | kevinbrierton.com