Single Family Market Update: Buyer demand builds, inventory tightens, DPA expands (2026.02.02)

About This Episode

• Mortgage rates held near 6.1%, but on-the-ground buyer behavior is becoming the more important signal than macro headlines
• Pending home sales climbed for a fourth straight week, pointing to sustained demand rather than a seasonal bounce
• Rising pending sales suggest stronger closed transaction volume through February and March
• Active listing growth has slowed sharply, signaling the seller surge from last summer has largely cleared
• Buyer demand is firming faster than new supply is rebuilding, quietly tightening market conditions
• Early tightening shows up first in off-market competition and falling lead response rates before headline data shifts
• Down payment assistance programs expanded to 2,619 nationwide, broadening the pool of qualified retail buyers
• Majority of DPA programs now support buyers with incomes above $100K or no income limits at all
• Entry-level flips benefit from expanded DPA access, reducing price concessions and days on market
• Long-term rental investors should monitor entry-level rent growth assumptions as homeownership access expands