01/14/2026
Realtor.com Chief Economist Danielle Hale says mortgage rates starting 2026 much lower than last year give home shoppers reason to be optimistic.
"Lower mortgage rates are particularly beneficial for first-time homebuyers who have navigated the challenge of elevated rents and high-home prices while trying to compete with investors for the limited number of entry-level options," she says.
While the market remains challenging overall, some cities and neighborhoods offer more homes for sale and stronger local economies, creating better opportunities for first-time buyers.
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