Zillow revises down its home price forecast—this map shows its outlook for 400 housing markets

Want more housing market stories from Lance Lambert’s ResiClub in your inbox? Subscribe to the ResiClub newsletter. Zillow economists just published their updated 12-month forecast, projecting that U.S. home prices—as measured by the Zillow Home Value Index—will rise 0.5% from February 2026 to February 2027. That’s a mild downward revision from its 12-month forecast published last month (+0.9%). While Zillow’s national home price forecast isn’t negative, it isn’t exactly bullish either. It foresees a soft national housing market in 2026, one where affordability may improve slightly as U.S. income growth outpaces U.S. home price growth. What type of regional variation does Zillow anticipate in 2026? window.addEventListener("message",function(a){if(void 0!==a.data["datawrapper-height"]){var e=document.querySelectorAll("iframe");for(var t in a.data["datawrapper-height"])for(var r,i=0;r=e[i];i++)if(r.contentWindow===a.source){var d=a.data["datawrapper-height"][t]+"