Homes.com Report: U.S. Median Home Price Increases to $395,000 in May as Sales Hold up Despite Higher Mortgage Rates
Home prices rose modestly in May, while easing supply constraints point to a market moving toward balance.
Homes.com, a CoStar Group (NASDAQ:CSGP) leading online residential marketplace, released its May 2026 housing market report, showing that the national median home sale price reached $395,000, up 1.8% from May 2025. Home sales were slightly lower than a year earlier, while active listings were higher, reflecting a market moving toward a more neutral balance between buyers and sellers as supply expands.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260616137282/en/
United States Sale Prices Key Indicators
Sales resiliency stands out as conditions vary across markets and property types
"Although home sales remained below their level from a year earlier, activity in May was firmer than anticipated following earlier increases in mortgage rates. Given those headwinds, the month's sales performance suggested that demand remained relatively steady," said Brad Case, Homes.com Chief Residential Economist.
"Home sales in May exceeded expectations despite higher mortgage rates earlier in the spring," Case said. "Steady demand alongside rising home prices suggests the housing market is proving more resilient, even with activity still somewhat subdued compared with historical norms."
The national picture continued to mask meaningful differences across major housing markets. Some large metros posted solid gains in home prices, including Chicago and Baltimore, while others—including Miami, Orlando, and Raleigh—saw prices soften modestly or remain flat. Inventory trends also differed across markets, with some continuing to add supply more quickly than others, contributing to increasingly uneven conditions across markets.
The data showed further variation across property types. Single-family homes saw prices rise 1.5% from a year earlier, slightly outpacing a 1.1% increase for townhomes, while condo prices edged slightly lower. Inventory increased across all three categories, with relatively larger gains among townhomes.
Overall, May reflected a housing market that continues to move toward balance. Price growth remained modest, inventory stayed above last year's level, and sales surprised slightly to the upside relative to expectations, pointing to a market that is moving toward balance even as conditions differ across regions and property types.
Additional market insights and reports are available at https://www.homes.com/reports/.
About Homes.com
The Homes.com Network is the fastest-growing residential real estate marketplace and the second largest in the United States. Homes.com is a brand of CoStar Group (NASDAQ:CSGP), a global leader in commercial real estate information, analytics, and online marketplaces, which acquired the platform in 2021.
Homes.com is the first major U.S. real estate portal to focus first on helping homeowners and their agents leverage the marketing power of the internet to bring more potential buyers to their listings. Homes.com's unparalleled content and search capabilities bring millions of buyers and sellers to the site where they can seamlessly connect with agents. On average, Homes.com's Members gain $36,400 in commission in their first year* because they offer the home sellers a real estate portal that works for them not against them.
The Homes.com Network reached an audience of 108 million average monthly unique visitors in 2025** and organic traffic to Homes.com was up more than 100% year-over-year every month of the first quarter of 2026. For more information, visit Homes.com.
*Based on an internal analysis of approximately 11,000 Member agents, which showed an average annual commission increase of $36,400. This figure represents an average and is not a guarantee of future performance. Individual results may vary based on market conditions, agent activity, and other factors.
**The Homes.com Network (which includes Homes.com, the Apartments Network, and the Land Network) average monthly unique visitors (108 million) for the year ended December 31, 2025, according to Google Analytics.
About CoStar Group
CoStar Group (NASDAQ:CSGP), an S&P 500 company, is a global leader in commercial real estate information, analytics, online marketplaces, and 3D digital twin technology. Founded in 1986, CoStar Group is dedicated to digitizing the world's real estate, empowering all people to discover properties, insights, and connections that improve their businesses and lives.
CoStar Group's major brands include CoStar, a leading global provider of commercial real estate data, analytics, and news; LoopNet, the most trafficked commercial real estate marketplace; Apartments.com, the leading platform for apartment rentals; Homes.com, the fastest-growing residential real estate marketplace; and Domain, one of Australia's leading property marketplaces. CoStar Group's industry-leading brands also include Matterport, a leading spatial data company whose platform turns buildings into data to make every space more valuable and accessible, STR, a global leader in hospitality data and benchmarking; Ten-X, an online platform for commercial real estate auctions and negotiated bids; and OnTheMarket, a leading residential property portal in the United Kingdom.
CoStar Group's websites attracted 131 million average monthly unique visitors in the first quarter of 2026, serving clients around the world. Headquartered in Arlington, Virginia, CoStar Group is committed to transforming the real estate industry through innovative technology and comprehensive market intelligence. From time to time, we plan to utilize our corporate website as a channel of distribution for material company information. For more information, visit CoStarGroup.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260616137282/en/
Media Contact:
Matthew Blocher
CoStar Group
(202) 346-6775
mblocher@costar.com