List Prices Post Steep Drop and Buyers Are Showing Up: Realtor.com® May Housing Report
Northeast and Midwest Supply Unlocks as New Listings Surge in Both Regions in May, Reversing Declines from Just Two Months Prior
AUSTIN, Texas, June 3, 2026 /PRNewswire/ -- Despite climbing mortgage rates, rising inflation, and continued geopolitical uncertainty, the spring housing market extended its resilient run, according to the Realtor.com® May 2026 Monthly Housing Trends Report released today. Median list prices fell 2.4% year over year — the steepest decline in Realtor.com® data since 2017 — while pending sales rose for a sixth straight month and new listings hit their highest May level since 2022, continuing the most active spring market in four years.
"Higher rates and geopolitical uncertainty could have sidelined both buyers and sellers this spring," said Danielle Hale, chief economist, Realtor.com®. "Instead, we've seen six months of sellers adjusting their expectations and buyers rewarding them for it. List prices are down at a record pace, but price reductions are also down. That combination tells you sellers are doing their homework before listing, not after. The market is finding a new equilibrium."
Metric | May 2026 | Change over April 2026 | Change over | Change over | Change over |
Median listing price | $429,500 | 1.1 % | -2.4 % | 34.2 % | -1.8 % |
Active listings | 1,058,693 | 5.6 % | 2.2 % | -10.4 % | 120.8 % |
New listings | 474,976 | -0.4 % | 2.1 % | -18.7 % | -9.8 % |
Median days on market | 52 | 0 | 1 | 1 | 23 |
Share of active listings with price reductions | 17.5 % | 0.8 | -1.6 | 2.1 | 7.3 |
Median List Price Per Sq.Ft. | $228 | 0.6 % | -2.5 % | 49.5 % | 1.3 % |
Asking Prices Fall at a Record Pace — Broadly and Across the Country
The national median list price was $429,500 in May, up 1.1% from April in a typical seasonal move, but down 2.4% year over year — the seventh consecutive month of annual price declines and the steepest drop in Realtor.com® data going back to 2017. Price per square foot, which controls for the changing size mix of homes on the market, fell 2.5% year over year — also a record annual decline in the series.
Year-over-year median list price declines were recorded across all four major regions, ranging from -4.0% in the West to -1.2% in the Midwest. The sharpest per-square-foot declines were concentrated in Austin (-8.3%), Memphis (-5.9%), and Buffalo (-5.8%). At the other end, Providence (+9.1%), Indianapolis (+5.0%), and Cleveland (+3.1%) recorded the largest gains.
"Perhaps the most telling price signal in May came from what did not happen: price cuts fell rather than rose," said Jake Krimmel, senior economist, Realtor.com®. "The share of active listings with a price reduction declined 1.6 percentage points year over year to 17.5% — even as overall list prices continued to soften. In a crashing market, sellers list optimistically and get forced to cut. What we're seeing is different in a key way: sellers are using current market conditions as price discovery from the start, pricing for current conditions rather than selling under distress. That combination tells you sellers have internalized the more buyer-friendly conditions and are adjusting price expectations before listing rather than after. This is a meaningful behavioral shift, and it's precisely why buyers are still showing up despite rates above 6.5%."
Buyers Are Responding: Pending Sales Rise for a Sixth Straight Month
Listings in pending status rose 4.3% year over year in May, extending a streak to six consecutive months of annual growth — a run not seen since January through June 2021. The flow of contract signings climbed 3.5% year over year. The sustained momentum in pending sales confirms that lower list prices are translating into buyer engagement even as mortgage rates have moved back above 6.5%.
The two trends, falling prices and rising pending sales, are not a contradiction; they are two sides of the same coin. Last year's Cruel Summer report saw sellers hold firm on stale price expectations while buyers pulled back, and the gap between them ground the market to a halt. This spring, sellers are meeting buyers where they are, and the transaction data reflects it.
New listings reinforced the trend. They rose 2.1% year over year in May to 474,976, their highest May level since 2022. At the metro level, Buffalo (+19.9% YoY), Providence (+18.1% YoY), and Richmond (+17.5% YoY) led the way.
A Regional Inventory Flip: The Northeast and Midwest Surge While the South and West Stall
One of May's most consequential developments was a regional reshuffling of inventory patterns that marks a meaningful shift from recent months. New listings surged in the Northeast (8.6% year over year) and Midwest (4.7%). In the South and West, by contrast, new and active listings growth stalled, and rising days on market suggest the macro headwinds may finally be landing with real force in those markets.
The Northeast and Midwest reversal matters because both regions have been inventory-starved for years, locked in by homeowners sitting on low-rate mortgages with little incentive to list. The fact that new listings in the Northeast are now running nearly 9% ahead of last year — compared to a decline just two months ago — is a meaningful signal that the lock-in effect may be loosening where buyers need relief most. Active listings in the Northeast rose 7.1% year over year and 8.2% in the Midwest, while the South (0.3%) and West (1.4%) saw essentially flat active inventory.
The contrast shows up in days on market as well. Time on market is now lower in the Northeast than a year ago (-1 day), likely reflecting the influx of fresh inventory energizing transactions in historically tight markets. Days on market rose modestly in the Midwest (+1) and South (+1), and more sharply in the West (+4 days). The sharpest active inventory gains were in Louisville (+32.7%), Cincinnati (+25.7%), and Indianapolis (+21.9%).
Rising Rates Failed to Pull the Market Back — But the Limits of Resilience Bear Watching
Mortgage rates climbed from 6.30% to 6.53% throughout May, driven by April's Consumer Price Index coming in at 3.8%, fueled by the Iran War, and inflation nowcasts estimating May's number closer to 4.2%. Rising inflation delivered a double blow: eroding purchasing power while pushing bond yields and mortgage rates higher, presenting another round of headwinds for the spring selling season.
"Between higher inflation, climbing rates, and cratering consumer sentiment, a market pullback would have been easy to explain, but it didn't happen," said Krimmel. "New listings kept growing, pending sales extended their growth streak to six months and price cut share fell. All three of those indicators moved in the right direction simultaneously, even as rates climbed. The clearest explanation is that buyers and sellers have recalibrated to an environment where higher rates and economic uncertainty are the expected backdrop, not a shock. That said, resilience has limits."
Looking Ahead to June
Two things bear close watching heading into June. First to watch is contract cancellations and delistings. May and June 2025 were when tariff-driven uncertainty moved beyond consumer sentiment and bled through into actual transaction behavior: cancellations increased and there was a large, sustained spike in sellers pulling their homes from the market. So far in 2026, cancellations have remained below the levels of recent years.
The second thing to watch is whether the Northeast and Midwest supply unlock sustains. New listings surged in both regions in May, reversing declines from just two months prior. If new and active listings continue to grow in those inventory-starved markets, it would be a key sign that the broader market is normalizing. Conversely, if the stalling inventory growth and rising days on market in the South and West begin showing up in cancellation data, that is the early warning sign that the macro pressure is starting to bleed through into behavior.
"It's too early to declare the spring market has fully weathered the storm, but the leading indicators are holding," said Krimmel. "Cancellations are low, new listings are growing, and sellers are cutting prices less even as list prices fall. The variables to watch in June are whether the Northeast and Midwest momentum holds and whether that macro pressure in the South and West starts showing up in cancellation data. Those are the early warning signs. So far, we're not seeing them."
May 2026 Regional and Metro Housing Overview
Region | Active | New Listing | Median List | Median List | Median List | Median Days | Price | Price Reduced |
Northeast | 7.1 % | 8.6 % | $549,900 | -1.8 % | 0.0 % | -1 | 11.3 % | 0.1 |
Midwest | 8.2 % | 4.7 % | $325,000 | -1.2 % | 1.2 % | 1 | 14.3 % | -0.4 |
South | 0.3 % | 0.6 % | $389,000 | -2.5 % | -3.4 % | 1 | 19.4 % | -2.1 |
West | 1.4 % | -1.4 % | $600,000 | -4.0 % | -2.0 % | 4 | 19.0 % | -2.2 |
National Average | 2.2 % | 2.1 % | $429,500 | -2.4 % | -2.5 % | 1 | 17.5 % | -1.6 |
Metro | Active | New Listing | Median List | Median List | Median List | Median Days on | Price-Reduced | Price-Reduced |
Atlanta-Sandy Springs-Roswell, GA | 2.6 % | -6.1 % | $425,000 | 1.2 % | 0.4 % | 3 | 20.4 % | -2.9 |
Austin-Round Rock-San Marcos, TX | -4.4 % | -13.3 % | $475,000 | -9.5 % | -8.3 % | 10 | 26.8 % | -2.4 |
Baltimore-Columbia-Towson, MD | 13.2 % | 8.3 % | $389,900 | -2.5 % | -1.3 % | 3 | 16.5 % | 1.3 |
Birmingham, AL | 8.2 % | 4.9 % | $299,900 | 0.0 % | 0.0 % | 3 | 16.4 % | -1.8 |
Boston-Cambridge-Newton, MA-NH | 11.0 % | 12.1 % | $849,000 | -3.4 % | -1.6 % | -1 | 14.1 % | -2.3 |
Buffalo-Cheektowaga, NY | 17.3 % | 19.9 % | $265,000 | -11.6 % | -5.8 % | 1 | 6.9 % | -0.1 |
Charlotte-Concord-Gastonia, NC-SC | 17.6 % | 5.8 % | $439,000 | -2.4 % | -2.1 % | 3 | 22.8 % | -0.8 |
Chicago-Naperville-Elgin, IL-IN | -10.7 % | -13.0 % | $389,000 | 2.4 % | 1.2 % | 1 | 11.1 % | -0.5 |
Cincinnati, OH-KY-IN | 25.7 % | 14.3 % | $350,000 | -1.4 % | 0.8 % | 3 | 16.0 % | 1.4 |
Cleveland, OH | 4.6 % | 4.6 % | $269,900 | -1.9 % | 3.1 % | 1 | 13.7 % | -0.5 |
Columbus, OH | 10.4 % | 9.0 % | $379,800 | -2.6 % | -0.5 % | -2 | 19.0 % | -2.1 |
Dallas-Fort Worth-Arlington, TX | -3.7 % | -3.9 % | $435,999 | -0.9 % | -1.9 % | 3 | 24.0 % | -3.0 |
Denver-Aurora-Centennial, CO | -7.2 % | -2.6 % | $589,000 | -1.8 % | -3.5 % | 5 | 25.5 % | -3.9 |
Detroit-Warren-Dearborn, MI | 16.7 % | 5.5 % | $264,900 | -1.9 % | -0.6 % | 3 | 14.0 % | 0.3 |
Hartford-West Hartford-East Hartford, CT | 0.6 % | 8.9 % | $475,000 | 1.2 % | -1.3 % | -5 | 7.3 % | 0.5 |
Houston-Pasadena-The Woodlands, TX | 3.5 % | -13.3 % | $360,000 | -3.4 % | -2.4 % | 5 | 18.4 % | -1.5 |
Indianapolis-Carmel-Greenwood, IN | 21.9 % | 12.9 % | $320,000 | -3.5 % | 5.0 % | 3 | 22.4 % | 1.1 |
Jacksonville, FL | -22.3 % | -3.4 % | $394,900 | -2.5 % | -2.9 % | -1 | 22.9 % | -5.9 |
Kansas City, MO-KS | 17.3 % | -9.3 % | $415,000 | 1.2 % | 0.8 % | -4 | 12.4 % | -1.9 |
Las Vegas-Henderson-North Las Vegas, NV | 6.7 % | -1.4 % | $474,900 | -2.1 % | -2.2 % | 5 | 21.8 % | -3.6 |
Los Angeles-Long Beach-Anaheim, CA | 2.0 % | -4.2 % | $1,100,000 | -7.9 % | -3.0 % | 2 | 14.3 % | -1.4 |
Louisville/Jefferson County, KY-IN | 32.7 % | 6.1 % | $319,900 | -2.2 % | -0.2 % | 0 | 18.3 % | 1.8 |
Memphis, TN-MS-AR | 16.2 % | 1.2 % | $304,495 | -13.0 % | -5.9 % | 1 | 22.3 % | 0.5 |
Miami-Fort Lauderdale-West Palm Beach, FL | -15.4 % | -5.3 % | $499,000 | -2.2 % | -1.3 % | 2 | 15.3 % | -4.4 |
Milwaukee-Waukesha, WI | 10.7 % | -2.8 % | $395,000 | -1.1 % | 2.5 % | 3 | 9.3 % | -1.4 |
Minneapolis-St. Paul-Bloomington, MN-WI | 11.3 % | 10.1 % | $434,900 | -2.5 % | -0.5 % | 1 | 14.0 % | 1.1 |
Nashville-Davidson--Murfreesboro--Franklin, TN | 13.3 % | 5.0 % | $539,900 | -1.6 % | -0.8 % | 3 | 18.7 % | -2.3 |
New York-Newark-Jersey City, NY-NJ | 4.2 % | 5.3 % | $775,000 | -2.5 % | -0.3 % | -3 | 9.3 % | 0.6 |
Oklahoma City, OK | 9.7 % | 4.1 % | $319,000 | -3.3 % | -0.9 % | 6 | 19.0 % | -1.8 |
Orlando-Kissimmee-Sanford, FL | -4.2 % | 3.7 % | $419,900 | -2.3 % | -3.4 % | 5 | 20.6 % | -4.6 |
Philadelphia-Camden-Wilmington, PA-NJ-DE-MD | 9.8 % | 7.5 % | $385,000 | 0.0 % | -0.1 % | 1 | 14.2 % | 0.0 |
Phoenix-Mesa-Chandler, AZ | -4.1 % | 9.5 % | $498,000 | -5.1 % | -2.1 % | 2 | 28.2 % | -3.1 |
Pittsburgh, PA | 7.9 % | 9.1 % | $250,000 | 0.0 % | 1.6 % | -1 | 16.8 % | 1.0 |
Portland-Vancouver-Hillsboro, OR-WA | 1.2 % | -0.6 % | $596,142 | -2.4 % | -2.5 % | 3 | 25.4 % | -1.4 |
Providence-Warwick, RI-MA | 3.7 % | 18.1 % | $589,999 | -0.8 % | 9.1 % | 0 | 9.5 % | -1.0 |
Raleigh-Cary, NC | 6.2 % | 8.8 % | $458,000 | 0.3 % | -1.6 % | 1 | 21.8 % | -1.6 |
Richmond, VA | 4.4 % | 17.5 % | $449,999 | -2.2 % | 2.3 % | -1 | 11.4 % | -1.1 |
Riverside-San Bernardino-Ontario, CA | -4.3 % | -4.0 % | $595,000 | -0.8 % | -2.3 % | 3 | 16.6 % | -3.2 |
Sacramento-Roseville-Folsom, CA | -6.8 % | -7.1 % | $634,900 | -0.6 % | 0.0 % | 3 | 18.7 % | -4.1 |
Salt Lake City-Murray, UT | 5.9 % | 6.1 % | $564,995 | -3.4 % | 0.5 % | 1 | 23.4 % | -3.7 |
San Antonio-New Braunfels, TX | 5.7 % | -1.7 % | $325,000 | -4.4 % | -5.1 % | -1 | 26.4 % | 1.4 |
San Diego-Chula Vista-Carlsbad, CA | -3.1 % | 4.4 % | $939,450 | -5.6 % | -3.9 % | 1 | 17.4 % | -2.5 |
San Francisco-Oakland-Fremont, CA | -16.5 % | -8.1 % | $998,250 | -0.1 % | -3.5 % | -3 | 12.5 % | -2.9 |
San Jose-Sunnyvale-Santa Clara, CA | 6.0 % | -3.1 % | $1,398,000 | -1.5 % | -3.0 % | 2 | 16.3 % | 2.8 |
Seattle-Tacoma-Bellevue, WA | 21.0 % | -8.4 % | $780,000 | -2.4 % | -3.6 % | 6 | 19.0 % | 2.7 |
St. Louis, MO-IL | 13.2 % | 2.8 % | $289,900 | -3.3 % | 0.1 % | 3 | 13.9 % | -0.4 |
Tampa-St. Petersburg-Clearwater, FL | -10.3 % | -5.7 % | $400,000 | -4.2 % | -3.0 % | 7 | 24.5 % | -5.4 |
Tucson, AZ | -4.0 % | 0.0 % | $385,000 | -3.3 % | -1.5 % | 6 | 21.1 % | -2.1 |
Virginia Beach-Chesapeake-Norfolk, VA-NC | 13.7 % | 11.9 % | $436,000 | 5.1 % | 2.0 % | -3 | 15.7 % | -1.8 |
Washington-Arlington-Alexandria, DC-VA-MD-WV | 7.8 % | 4.2 % | $595,000 | -6.3 % | -3.4 % | 1 | 15.0 % | -0.8 |
Methodology
Realtor.com® housing data as of May 2026. Listings include the active inventory of existing single-family homes and condos/townhomes/row homes/co-ops for the given level of geography on Realtor.com; new construction is excluded unless listed via an MLS that provides listing data to Realtor.com. Realtor.com data history goes back to July 2016. The 50 largest U.S. metropolitan areas as defined by the Office of Management and Budget (OMB-202301) and Claritas 2025 estimates of household counts.
Beginning with our April 2025 report, we have transitioned to a revised national pending home sales data series that applies enhanced cleaning methods to improve consistency and accuracy over time. While the insights and commentary in this report reflect the new series, the downloadable data remains based on our legacy automated pipeline. As a result, there may be slight differences between the report figures and those in the national download file as we transition.
With the release of its January 2025 housing trends report, Realtor.com® restated data points for some previous months. As a result of these changes, some of the data released since January 2025 is not directly comparable with previous data releases (files downloaded before January 2025) and Realtor.com® economics research reports.
Methodology for cancellations: A contract cancellation is counted if a listing was pending on one day and then back to active the next. It may miss a few that have been entirely delisted.
Contract Signings represent the flow of homes entering pending status in a given month (i.e. homes that went under contract for the first time in that period). This is a flow measure, not a stock measure. This distinguishes it from the stock of pending listings, which measures the total number of homes under contract at a given point in time regardless of when they entered that status.
About Realtor.com®
For over 30 years, Realtor.com® has connected buyers, sellers, and renters with trusted insights, professional guidance and powerful tools to help them find their perfect home. Recognized as the No. 1 real estate site REALTOR® agents recommend, Realtor.com® delivers consumer connections and a robust suite of marketing tools to support business growth. Realtor.com® is operated by News Corp (NASDAQ:NWS, NWSA]) [ASX: NWS, NWSLV] subsidiary Move, Inc.
Media Contact: Mallory Micetich, press@realtor.com
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SOURCE Realtor.com