In 2026, the US real estate market presents unusual stability: prices have not collapsed, but sales and purchases have nearly halted. The likely causes include the 'golden handcuffs' effect from locked-in low mortgage rates, high current rates, soaring insurance and tax costs, and the market adjustment after a pandemic-driven price surge.
About 80% of US homeowners hold mortgages with low interest rates and are reluctant to switch to more expensive credit. This has sharply reduced residential mobility, bringing sales to the lowest point in decades. Florida is particularly affected, with increased insurance costs after natural disasters and rising property taxes. Many owners there are forced to sell homes at significant losses.
Political messaging intensifies uncertainty: Trump proposes banning corporate home buying; Congress discusses 50-year mortgages, use of pension savings for down payments, and transferring mortgage rates to new homes. All these ideas face major financial or systemic obstacles.
Meanwhile, demand for home renovations remains steady due to the aging housing stock. The US market is not crashing like in 2008, nor is it recovering—it is waiting for rate cuts or structural reform. Some policies, such as using pension assets or expanding mortgage accessibility, might be adapted for Ukraine to support demographics.
