Home values expected to dip slightly through 2025 before stabilizing, signaling a soft correction rather than a sharp market downturn.
Higher mortgage rates and growing housing inventory likely to keep buyer demand moderate, reducing bidding wars seen in recent years.
Select markets like Yuma and Flagstaff may see modest gains, while most major metros forecast small declines into mid-2026.
Potential mortgage rate drops in 2026 could lift sales and support gradual price recovery, aligning with improving national housing trends.
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