HOUSTON, Texas (KTRK) — The U.S. housing market experienced changes during the first quarter of 2026.
U.S. pending home sales fell 2.4% year-over-year during the four weeks ending April 5, nationwide and 15.4% in Houston, according to a report from Redfin.
Redfin states that rising home prices, rising mortgage rates, and the war in Iran are major factors.
Home prices rose 2.2% annually, and the weekly average mortgage rate jumped to 6.46% during the week ending on April 5, according to Redfin.
“What we have seen is that as mortgage rates have been super volatile for the last six weeks, what buyers don’t like are high mortgage rates, but what they don’t like even more than that is they don’t like volatility in mortgage rates,” Redfin Head of Economic Research Chen Zhao said.
Housing market experts say there could be a glimmer of hope.
On April 9, data was released showing the benchmark 30-year fixed rate mortgage dropped to 6.37%, according to mortgage buyer Freddie Mac. That is the first drop after rising for five weeks in a row.
“With the news of a two-week ceasefire, what we have seen is that markets have rallied, and interest rates have dipped a bit this week,” Zhao said.
Housing market experts told ABC13 they hope interest rates continue to decrease, which will lead to the housing market heating up again.
“I’m hoping more buyers will come to the market, and that’s why I’m expecting that more buyers will come to the market and that’s going to be a great thing for buyers and sellers,” Braden Real Estate Group co-owner Nicole Handy said.
Copyright © 2026 KTRK-TV. All Rights Reserved.