It’s Getting More Affordable To Buy a Home in Central Florida

There’s finally some good news for buyers who’ve felt priced out or stuck on the sidelines.

Buying a home in Central Florida is becoming more affordable.

Monthly mortgage payments are easing, wage growth is improving buying power, and the intense pressure buyers have faced for years is slowly loosening. While affordability isn’t perfect yet, the trend is clearly moving in the right direction — especially for those searching for houses for sale in Central Florida.

If you’ve been waiting for the right moment, this shift matters.

Affordability Is Finally Moving in the Right Direction

One of the best ways to measure affordability is by looking at how much of a household’s income goes toward housing expenses.

According to Zillow, housing is considered affordable when 30% or less of your monthly income covers your mortgage, taxes, insurance, and basic maintenance. For years, buyers were far above that threshold — making homeownership feel out of reach.

Now, the math is improving.

Zillow research shows it’s taking less of a typical household’s income to buy a home compared to recent years. While we’re not fully back to the 30% benchmark yet, affordability is steadily improving — especially in desirable Central Florida markets.

Why Buying a Home Is Getting Easier in 2026

Several important trends are finally working in buyers’ favor — and together, they’re reshaping the market for homes for sale in Kissimmee, homes for sale in Altamonte Springs, and throughout the region.

1. Mortgage Rates Have Eased

Mortgage rates are hovering near their lowest levels in over three years. Even a small drop in rates can significantly reduce monthly payments, improving affordability without lowering home prices. (see graph below):

2. Home Price Growth Has Cooled

Home prices aren’t crashing — but they’re rising much more slowly than before. This creates a healthier, more predictable market where buyers aren’t constantly competing against runaway price increases.

3. Wages Are Growing Faster Than Home Prices

This one matters a lot. As Mark Fleming, Chief Economist at First American, explains:

“When income growth exceeds house price growth, house-buying power improves—even if mortgage rates don’t decline meaningfully.”

None of this makes buying cheap, but it does explain why the math is starting to work a little better for buyers than it did even a just a year ago. Put simply, the forces that hurt affordability over the past few years are finally easing. Fleming again explains it well:

“Affordability remains challenging, but for the first time in several years, the underlying forces are finally aligned toward gradual improvement. Mortgage rates may drift down only slowly, but income growth exceeding house price appreciation will provide a boost to house-buying power — even in a higher-rate world. Affordability won’t snap back overnight, but like a ship finally catching a steady tailwind, it’s now sailing in the right direction.”

These three factors combined are why economists expect affordability to keep improving in 2026.

Where Homes Are Becoming Affordable First

You don’t have to wait — and you don’t have to move far.

Some markets are expected to dip back below Zillow’s 30% affordability threshold by the end of the year. But here’s the key insight most buyers miss:

Many Central Florida neighborhoods are already seeing meaningful improvements. Local market knowledge matters more than ever, which is why working with experienced real estate agents in Central Florida can make all the difference.

Whether you’re searching for:

• Homes for sale in Kissimmee

• Homes for sale in Altamonte Springs

• Or other houses for sale in Central Florida

Understanding neighborhood-level trends is what unlocks opportunity.

Why Local Expertise Matters Right Now

Affordability is improving — but not at the same speed everywhere.

That’s where guidance from a seasoned local professional comes in. means knowing where inventory is increasing, where prices are stabilizing, and how to structure offers that protect your long-term investment.

For buyers navigating today’s market, strategy matters just as much as timing.

Bottom Line: The Market Is Shifting — and Opportunity Is Growing

For the first time in years, housing affordability is improving in a meaningful way. While it won’t snap back overnight, the direction is clear.

If you’re considering buying, now is the time to explore your options, understand local conditions, and position yourself ahead of the curve.

And if you want to see how these trends are playing out specifically in Central Florida, let’s talk.

Whether you’re buying your first home, upgrading, or investing, Robert Michael Diaz delivers trusted guidance, negotiation expertise, and results across Central Florida real estate.