It’s hard to believe, but we’re already nearing the halfway point of 2026! Going into this year, real estate analysts predicted a subdued, yet stable market with appreciation growing between 1-4% and a slight bump in inventory. Let’s see how the summer is unfolding. 

Data from the National Association of Realtors shows existing-home sales in May rose 3.2% year-over-year across the US, with a 6.4% month-over-month increase in the Midwest. The median sales price ticked up 1.3% between May 2025 and May 2026, marking the 35th consecutive month of YoY price increases. The national Housing Affordability Index is up to 105.6 compared to 97.5 last May. This means that a household earning the median family income (as reported by the US Census Bureau) has 105.6% of the income needed to qualify for a median-priced home. 

NAR Chief Economist Dr. Lawrence Yun noted that home sales are at the highest level since December and current mortgage rates are sitting at the long-term historical average. Sellers have maintained a strong equity position. “Only 1% of all home sales involved a foreclosure or an underwater situation in which the sale price could not cover the outstanding mortgage balance. This shows that homeowners are on solid financial footing,” Yun said.

For most of Northwest Ohio, supply and prices have trended upward. Lucas County has seen the most growth with a YoY median sales price increase of 10.9% and months supply up 8.3%. The median sales price has risen just over 7% in both Fulton and Hancock Counties. Hancock County had an inventory boom unlike most areas in May 2025 and the months supply has since fallen 22.6% YoY, while Fulton County inventory is up 17.4%. Appreciation in Henry and Wood Counties are closer to the national trends with median sales prices increasing 1.4% and 4.5%, respectively. Between all of these counties, the median days on market during May was 44, down 6.3% from last year.

Danberry internally collects data tracking the key components that result in accepted offers. The following findings are based on offers written by Danberry agents in our Michigan and Ohio offices from April 27 through May 27, 2026:

• 21% of the offers were accepted at list price; 19% of accepted offers were 1-5% over list price; 16% of accepted offers were 1-5% under list price
• 76% of the properties had competing offers
• 16% of written offers waived the appraisal and 17% waived inspections
• 57% of the offers that included an appraisal gap offered a gap amount of $500 or less

Housing Wire recently detailed the housing cycle from 2017 to present, describing it as a “return to functional market conditions.” The article goes on to explain, “More supply came online, and buyers met it. Demand strengthened, but inventory still grew. The market did not seize under additional supply. It processed it. This is not a hot market. It is not a soft market. It is a functioning market.”

What does this mean for sellers? Follow the comps. If you have questions regarding how your house stacks up against comparable sales, ask your Realtor for guidance. Keep in mind that very few updates result in a 100% ROI—your $30,000 kitchen remodel doesn’t necessarily add $30,000 in value. (More on that here and here.)

Now is not the time to test the waters by pricing high. It’s not uncommon for sellers to want to start high then drop the price if the market doesn’t respond favorably. This makes sense in theory, but it can backfire in practice. Today’s buyers have more options. Overpricing means your property is more likely to be overlooked and the longer it sits, the harder it is to build momentum. The first couple weeks on the market are crucial and dropping the price can certainly help, but it won’t get you that time back. Make sure you’re priced competitively from the start.

What does this mean for buyers? There are no blanket strategies in this market—approach every offer on a case-by-case basis. You’re likely going to encounter a multiple offer scenario, especially if your search takes awhile. Remember that we’re not in 2020 anymore. You don’t need to waive the inspection, agree to a massive appraisal gap, and perform a blood sacrifice just to have your offer considered. Ask your Realtor for a comparable market analysis. This will help you narrow down a fair value and you can decide your comfort level from there. It’s also critical to have a Realtor who’s willing to put in the work to find out if there are terms beyond the price that are important to the seller.

Limited inventory has forced many would-be sellers to stay put since they’re also unable to find a new home, so increased supply helps those homeowners get off the fence. It’s not uncommon in our market for sellers to need to close on their sale before closing on their purchase, therefore some will need possession after close. Offering the highest price means nothing if your timeline isn’t doable for the seller. If you currently rent and have an exact move out date, make sure you’re factoring the possibility of seller possession into your plan. The last thing you want is to make a rushed decision because you’re scrambling to find a place. 

If you find yourself interested in a home without competing offers, particularly if it’s been on the market for a while, you may have leverage to negotiate. Weigh your options then devise the offer to work for your specific needs/wants. A lot of buyers default to a lower price, but sometimes seller paid closing costs are more beneficial. Maybe you’re comfortable paying for the closing costs but you really want a lower rate, in which case you should ask your lender about rate buy downs. Scoring a deal under list price might look good on paper, but it’s probably not the most sustainable option if you’re left with $0 in savings.

Don’t forget that this market is giving buyers some room to breathe. That doesn’t mean there are droves of desperate sellers begging you to take their house. Be competitive when the time calls for it. Remain realistic. Do your research on the best offer strategies for your situation. And don’t start throwing stuff at the wall just to see if it sticks. 

We can’t wait to see what the rest of 2026 brings! If you need a leading professional to help you achieve your real estate goals, reach out to a Danberry Realtor today.