Housing Market Loses Steam, “National Buyer’s Market” Likely in 2026

BiggerPockets Blog
Published: October 14, 2025
Pricing & Profitability

Summary

The housing market is softening, potentially leading to a buyer's market in 2026, which could impact STR owners by increasing inventory and offering negotiation power. The government shutdown has caused the National Flood Insurance Program to lapse, potentially delaying or canceling closings in coastal areas and impacting hosts in those locations. Consider checking if you can assign your flood insurance to buyers if you are affected by the shutdown.

Key Insights

  • Home prices nationally are up 1.7% year over year, showing signs of softening, with month-over-month price drops for five consecutive months.
  • New listings of US homes rose 2.3% year over year, the biggest increase in over three months, while pending sales fell 1.3% from a year ago.
  • The government shutdown has caused the National Flood Insurance Program to lapse, potentially delaying 1400 closings a day, particularly affecting coastal areas.

Action Items

  • Consider assigning your existing flood insurance to a buyer if the government shutdown affects your ability to close on a property sale.
    Effort: medium
    Impact: medium

Common Mistakes

  • Failing to address the lapse in the National Flood Insurance Program could lead to delays or cancellations in property sales, especially in coastal areas.

Related Videos

More from Pricing & Profitability

Airbnb Hosts Earnings Calculator for FIFA World Cup 2026™ Boosts Local Hosting Opportunities, Offering Seven Hundred and Fifty USD Incentives to New Hosts and Shaping Sports Tourism Growth - Travel And Tour World

Airbnb's Earnings Calculator targets the FIFA World Cup 2026, boosting hosting opportunities. The platform offers $750 incentives to new hosts, aiming to shape sports tourism growth, creating new potential for short-term rental owners to increase revenue and income.

2 days ago85
'I Lost Money Every Month With an Airbnb–and One Nightmare Guest Led Me To Shut It All Down' - Realtor.com

This article discusses a host's experience losing money with an Airbnb due to financial challenges and a negative guest encounter. The host was losing money every month, which led them to shut down their Airbnb venture. A single problematic guest was the catalyst for this decision, highlighting the importance of guest screening and operational financial management in STR hosting.

2 days ago85
Coachella Chaos? As Demand Surges, So Do Prices, Rental Cancellation Rumors and Influencer Gossip - The Hollywood Reporter

The Hollywood Reporter article discusses potential chaos at Coachella due to surging demand for short-term rentals, driving up prices. Rumors of cancellations and influencer gossip are also circulating, suggesting volatility. This highlights the importance of proactive management and pricing strategies to capitalize on high-demand events.

2 days ago75

Curated by Learn STR by GoStudioM