Zillow slightly downgrades its national home price outlook—predicting that over the next 12 months, U.S. home prices are likely to rise +0.9%. Want more housing market stories from Lance Lambert’s ...

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 1.5% between October 2025 and October 2026.

Home values continued to trend higher in November, according to the Zillow Home Value Index. However, after adjusting for inflation, real home values fell to their lowest level in nearly five years.

A median-income household can now afford a home priced above $331,000.