Home Buyers See Prices Rise Yet Again. Can a Federal Law Turn the Tide?

In case you missed it, the median price for existing homes hit another record this summer: $440,600.

Home prices have pressed higher for three years running, says the National Association of REALTORS®. And they’ve risen in four out of five major housing markets in the second quarter of 2026. The latest increase is especially pronounced in the South, given the region’s job growth.

Supply is low. We’re down to about 1.5 million units. Demand is running high despite prices. This leaves many first-time home buyers facing hard decisions. 

Many Cheaper Homes Are Also Older. How Old Is Too Old?

Chasing affordability, hopeful buyers are looking at older homes. Buyers may wonder if the necessary renovations will make many such homes much more expensive than their listing prices suggest. They might ask: How old is too old when it comes to homes?

If the home dates from before 1970, proceed with caution. When looking at older homes, there’s a greater risk of encountering asbestos, and older construction is harder to work with. That’s per market watcher Henry Washington, as quoted by TheStreet.

Washington urges buyers to price out renovations correctly before signing a purchase agreement. Know how to anticipate the big-ticket fixes. Be prepared.

• Replacing the electrical system can cost anywhere from $5K to $10K.

• A new roof, even on a small home, will cost upwards of $10K.

• A new heating and air conditioning system, depending on whether ductwork is needed, can run anywhere from $5K to $20K or more.

• Restoring the home’s foundation can cost $20K to $50K, and the results of this investment cannot always be predicted.

• Replacing plumbing can also run into the five figures. Carefully examine all water lines on an older property.

Washington says it’s best to hire foundation and plumbing experts for quotes before making a purchase decision.

Concerned About the Housing Economy, JPMorgan Sends Out a Lifeline

In early August, JPMorgan, the largest U.S. financial institution, announced that it would invest more than $750 billion through 2035 under its American Dream Initiative. The goal? To increase supply and support home buying.

Under the Initiative:

• JPMorgan will ramp up mortgage lending to accommodate a half-million more applicants. This will involve hiring 850 new mortgage consultants.

• The company will help create or maintain a million affordable homes.

• The company will chair the U.S. Chamber of Commerce’s new Housing Advisory Council.

As a financial institution, JPMorgan acts in its own interests as well as those of buyers through this effort to bulk up its housing initiatives.

Action Needed Now: Can the 21st Century ROAD to Housing Act Deliver?

The Bipartisan Policy Center recently ran a survey of U.S. voters. The group found that 79% of surveyed U.S. voters consider housing an “extremely” or “very” important problem that needs to be addressed. Even more—83%—agreed that “Congress should take action now to make housing more affordable.”

How’s Congress doing with that?

As our regular readers know, they’re on it. This summer, federal lawmakers passed the first major housing bill in decades. The new 21st Century ROAD to Housing Act is an amalgamation of nearly 60 distinct sets of laws designed to help people build, renovate, buy, and rent homes. For example, one part of the law, titled the Whole-Home Repairs Act, tests federal support for repairs and renovations to older homes.

This is progress.

Libby O’Neill, a senior analyst at the National Low Income Housing Coalition, says advocates welcome the new federal housing law. Yet O’Neill calls for much more investment to lift up the country’s 11 million lowest-income renters.

Speaking of renting, the new law puts limits on businesses that buy up single-unit houses and turn them into rentals. Already, the effects are visible. Major real estate investors are putting houses back on the market. Nearly 10,000 rental houses are now up for sale by large institutional investors. That’s more than double the number they had up for sale in February, before the new housing law passed.

The 21st Century ROAD to Housing Act bars companies that already own at least 350 houses from adding to their stashes. (There are some exceptions, such as allowing companies to renovate old houses and rent them out or to offer pathways for renters to acquire their own deeds.)

Tension Ahead: Bold Law, Battered Agencies

The National Low Income Housing Coalition acknowledges that the Act includes some supportive features for those who need the most help. For example, a subpart of the new law is titled the Choice in Affordable Housing Act. Lawmakers designed this section to hasten inspection processes for homes purchased with federally backed loans. The Department of Housing and Urban Development (HUD) will be able to expedite such work under the new law. The homes that have already undergone inspections within the past year would be counted as having passed several sections of the standard inspection. This would enable people to move into homes faster.

Overall, the new law will play a supportive role in smoothing out the “road” to homes for many. At the same time, it will do its work in a severely hampered administrative environment. Many of its provisions need to be put into action by the Department of Housing and Urban Development. Yet nearly a third of HUD staff members have left their positions in the past two years. That’s according to PBS and the Partnership for Public Service. Can a threadbare HUD make the most of our new federal housing law? 

Our focus, as always, is the attainability of deeds for the people of our nation. Election season is upon us, with health and homes central to campaigners’ messaging. Let’s keep building the bipartisan road to housing.