High borrowing costs, credit card and student loan debt combined with economic uncertainty are keeping potential buyers in place, leading to a growing backlog of unsold homes on multiple listing services nationwide. This standoff has created ample supply despite persistent demand among prospective homeowners.

Home prices have held largely flat with only modest upward movement in select markets, prompting builders to sweeten deals through mortgage‐rate buydowns, point purchases and other purchase incentives to entice hesitant buyers. These offers aim to offset elevated interest rates without cutting list prices significantly.

New legislation prioritizes streamlined environmental reviews, easier manufactured housing construction and expanded mortgage access, marking the first major federal housing bills in decades. However, municipalities such as those in greater Nashville face high impact fees and insufficient infrastructure, slowing permit approvals and new home construction.