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

The company’s Home Value Index now predicts U.S. home prices to rise just 0.5% over the next 12 months.

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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?

Among the 300 largest U.S. metro-area housing markets, Zillow expects the biggest home price increase from February 2026 to February 2027 to occur in these 15 metros:

Rockford, Illinois  → +5.1% 

Syracuse, New York  → +4.6% 

Atlantic City, New Jersey  → +4.6% 

Knoxville, Tennessee  → +3.9% 

Rochester, New York  → +3.8% 

Green Bay, Wisconsin  → +3.8% 

Appleton, Wisconsin  → +3.8% 

Wausau, Wisconsin  → +3.7% 

Morristown, Tennessee  → +3.7% 

Janesville, Wisconsin  → +3.5% 

Norwich, Connecticut  → +3.4% 

Vineland, New Jersey  → +3.3% 

Pottsville, Pennsylvania  → +3.3% 

Hartford, Connecticut  → +3.2% 

New Haven, Connecticut  → +3.2%

Among the 300 largest U.S. metro-area housing markets, Zillow expects the biggest home price decline from February 2026 to February 2027 to occur in these 15 metros:

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