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Homebuyers Gain Power as Mortgage Rates Drop

2/24/2026

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Story summary
  • A Zillow Group report from Zillow Research finds U.S. homebuyers have increased purchasing power, with a median-income household able to buy a $331,483 home and payments 8.4% lower than last year.
  • Mortgage rates fell from 6.96% in January 2025 to 6.1% last month, contributing to a $30,302 rise in buying power.
  • Affordable listings rose to 447,000, or 40.3% of listings, with inventories up in Houston, Phoenix, Dallas, Miami, and Atlanta.