After years of elevated mortgage rates and cautious buyers, the housing market is showing real signs of life again. Sellers are stepping back into the market. Buyers are becoming more active. And for the first time in a long while, there’s some genuine momentum returning.

It’s not a boom. It’s not a frenzy. But it is a meaningful shift — one that could help set the stage for a stronger and more balanced market in 2026.

So what’s fueling this gradual comeback? Here are three key trends giving the housing market a much-needed boost.

1. Mortgage Rates Are Trending Down

Mortgage rates will always fluctuate, especially in a shaky economic environment. A bit of volatility is normal. What matters most is the bigger picture — and that picture has been improving. Rates have been moving lower for most of this year, and the past few months have delivered some of the best mortgage rates we’ve seen in 2025.

According to Sam Khater, Chief Economist at Freddie Mac: “On a median-priced home, this could allow a homebuyer to save thousands annually compared to earlier this year, showing that affordability is slowly improving.”

Why does this matter? Lower rates increase your purchasing power. They reduce borrowing costs, making more homes accessible to more buyers.

For example, a buyer with a $3,000 monthly budget can now afford about $25,000 more home than they could just a year ago. That’s a sizable difference — and one reason activity is picking up.

2. More Homeowners Are Deciding It’s Time to Sell

For years, homeowners holding low pandemic-era mortgage rates stayed put, creating the “lock-in effect.” That hesitation kept inventory historically tight. But as rates ease, life events — not interest rates — are becoming the bigger motivator again. More homeowners are choosing to list, and the shift is clear.

Realtor.com data shows a steady rise in the number of homes for sale, with inventory levels approaching highs not seen in roughly six years. That’s great news for buyers who have struggled with limited choices. As listings grow, the market is slowly inching back toward balance.

3. Buyers Are Stepping Back Into the Market

It’s not just sellers making moves. Buyers are feeling the shift too. With more homes available and slightly improved affordability, demand is strengthening. The Mortgage Bankers Association reports that purchase applications are up compared to this time last year — a solid sign that buyers are re-engaging.

Economists at Fannie Mae, the MBA, and the National Association of Realtors all expect moderate sales growth heading into 2026. It won’t be a sudden surge, but the trend is clearly pointing upward.

Bottom Line

After several slower years, the housing market is finally gaining traction. Lower mortgage rates, growing inventory, and renewed buyer activity are all helping the market turn a corner. The recovery may be gradual, but it’s underway — and setting the stage for a more promising 2026.

If you’re thinking about buying or selling and want to understand what these shifts mean for your plans, reach out to Scott and the Smolen Team. We are here to help you prepare, navigate your options, and move forward with confidence!

If you’ve served in the military—or if your spouse has—you have access to one of the most powerful homebuying tools available: the ability to purchase a home with no down payment required. Yet, around 70% of Veterans aren’t aware of this incredible benefit. That means 7 out of 10 Veterans could be missing out on one of the biggest advantages they’ve earned through service. Here’s what you need to know about VA home loans and how they can help you achieve your homeownership goals.

Why VA Home Loans Are a Great Option

For nearly eight decades, VA loans have helped millions of Veterans and active-duty service members become homeowners. According to the Department of Veterans Affairs, here are some of the biggest benefits:

• $0 Down Payment Options: Many Veterans can purchase a home without years of saving for a large down payment.
• Fewer Upfront Costs: The VA restricts which closing costs Veterans can be charged, allowing you to keep more cash available for moving or home upgrades.
• No Private Mortgage Insurance (PMI): Unlike many conventional loans, VA loans do not require PMI, helping reduce monthly housing expenses.

These advantages make VA loans an outstanding choice for service members and their families looking to build stability, save money, and create long-term wealth through homeownership.

Can You Still Get a VA Loan During a Government Shutdown?

With recent headlines about government shutdowns, many Veterans have wondered whether VA loans are still available. The good news is that they are.

While some processes may experience delays, lenders are still able to order appraisals, obtain a borrower’s Certificate of Eligibility, submit VA funding fees, and more. In short, Veterans can still use their home loan benefit to purchase a home or refinance an existing mortgage. The process might take a little longer than usual, but it’s still very much open and functioning.

Why the Right Agent and Lender Make All the Difference

Using your VA home loan is a smoother, easier experience when you have the right team supporting you. Choosing a real estate professional who understands VA loans—and works with a lender experienced in the process—can make all the difference.

A military-friendly agent and an informed lender will help you navigate every step, from qualifying to closing, ensuring that you’re taking full advantage of your well-earned benefits. Communication and coordination between your agent and lender are key to reaching the settlement table efficiently.

Local Impact: VA Loans in Anne Arundel County

Here in Anne Arundel County, VA loans are a lifeline for many who serve or have served at nearby installations like Fort Meade and NSA, or for Veterans who want to settle close to BWI Airport, Odenton, Crofton, Gambrills, or Annapolis. The area offers a wide variety of homes—townhomes, single-family properties, and new construction—that fit well within VA loan guidelines. Working with a local Realtor familiar with military moves and VA lending requirements can make your transition smoother and your purchase more efficient.

Whether you’re PCS’ing, relocating from out of state, or simply ready to put down roots, understanding your VA benefits can make a major difference in your long-term financial success.

The Bottom Line

If you’re a Veteran, the VA home loan is one of the most valuable benefits available to you. With the potential for no down payment, limited closing costs, and no PMI, it’s a pathway to homeownership designed to honor your service and make the process more accessible.

If you’d like to learn more, reach out to a trusted local lender—or contact The Scott Smolen Team at RE/MAX Leading Edge today. We’re proud to help Veterans and their families throughout Anne Arundel County make the most of their VA benefits and find the perfect place to call home.

There’s been a lot of talk lately about how a government shutdown might affect the housing market. You might be wondering—does everything come to a stop?

The short answer: No.

The housing market doesn’t freeze. Homes are still being bought and sold, contracts are still signed, and closings continue to happen. While a few parts of the process might slow down, the market as a whole keeps moving forward.

What Typically Happens During a Shutdown

When the government shuts down, certain federal agencies close or reduce operations. That can lead to some delays in real estate, especially when it comes to specific types of loans and insurance:

• FHA, VA, and USDA loans (which make up roughly one-quarter of all mortgage applications) may take longer to process due to agency furloughs.

• According to Zillow, over 2,500 mortgage originations per workday are at risk of delays during a shutdown.

• Flood insurance approvals through the National Flood Insurance Program may also be temporarily paused, which can delay closings in flood-prone areas.

Even with these slowdowns, most real estate transactions still move forward. Buyers keep buying, sellers keep selling, and agents continue helping clients reach the closing table.

The Market Bounces Back Quickly

If we look back at the most recent government shutdown (which lasted 35 days at the end of 2018), the data shows only a brief dip in sales activity—followed by a quick rebound once the government reopened.

According to the National Association of Realtors (NAR), existing home sales slowed for about two months during that time. However, once the shutdown ended, delayed closings were completed, and sales activity returned to normal levels almost immediately.

In other words, while a shutdown may cause short-term disruptions, it doesn’t have a lasting impact on the housing market.

What This Means for You

If you’re currently buying or selling a home, there’s no need to panic. Most deals still move forward—sometimes just a few days later than planned. As Jeff Ostrowski, Housing Market Analyst at Bankrate, notes:

“If you’re expecting to close in a week or a month, there could be some slight delay, but for most people, it’s probably going to be a blip more than a real deal killer.”

And if you’re just starting to think about entering the market, a temporary slowdown could actually work to your advantage. When some buyers and sellers step back during uncertain times, you might find less competition and more room to negotiate.

These brief pauses often create great opportunities for well-prepared buyers and motivated sellers.

The Bottom Line

A government shutdown might cause some short-term delays—but it doesn’t derail the housing market. Historically, sales bounce right back once operations resume.

If you’re thinking about buying or selling a home, now’s the time to plan your next move. Contact Scott and The Smolen Team for expert advice and guidance to help you navigate any market conditions with confidence.

Saving enough money for a down payment and closing costs can be challenging enough — and then you’re told that buying “mortgage points” could lower the interest rate on your loan. That’s when the questions start: What are mortgage points? How much do they cost? And are they really worth it?

Let’s take a closer look at what mortgage points are, how they work, and when it might make sense to buy them.

What Are Mortgage Points?

Mortgage points are fees paid directly to your lender at closing in exchange for certain benefits. There are two main types of points: origination points and discount points.

• Origination points are fees that go to the lender for processing and handling your loan. Not all lenders charge them, and many are willing to negotiate.

• Discount points are prepaid interest — you pay upfront to reduce your loan’s interest rate for the entire term.

Typically, one point equals 1% of your loan amount. For example, if you’re borrowing $250,000, one point would cost $2,500.

You’ll see any mortgage points listed on your Loan Estimate, which arrives a few days after you apply for your mortgage, and again on your Closing Disclosure before settlement.

How Discount Points Work

Discount points allow you to lower your interest rate by paying more upfront. For many lenders, each discount point reduces your rate by about 0.25%.

Let’s look at an example:

• Loan amount: $300,000

• Down payment: 20%

• Option 1 (Zero Points):

  • Paid at Closing: $0

  • Interest Rate: 5.5%

  • Monthly Payment (Principal & Interest Only): $1,362.69

• Option 2 (Two Points):

  • Paid at Closing: $6,000

  • Interest Rate: 5.0%

  • Monthly Payment (Principal & Interest Only): $1,288.37

That’s a monthly savings of $74.32 with the lower interest rate.

When Do You Break Even?

To find out when the upfront cost pays off, divide the amount paid for the points by your monthly savings:

$6,000 ÷ $74.32 = 80.73 months

That means it would take about 81 months (just under 7 years) to break even. If you plan to stay in the home beyond that point, the long-term savings can add up — in this example, around $26,755 in total interest savings over a 30-year loan.

Should You Buy Discount Points?

It depends on your situation. If you’re planning to stay in your home for many years, buying discount points can be a smart move to lock in long-term savings. But if you think you might sell or refinance before reaching the break-even point, that money might be better used toward your down payment or closing costs.

Your decision also depends on how much cash you’re comfortable bringing to closing. Reducing your down payment to buy points can sometimes shift your loan-to-value ratio or impact mortgage insurance — so it’s important to weigh all factors carefully.

Before deciding, talk with your mortgage professional or a trusted advisor like Scott and the Smolen Team. They can help you evaluate how long you expect to stay in your home and whether discount points make sense for your financial goals.

Bottom Line

Mortgage points can be a useful tool for lowering your long-term costs — but they’re not the right move for everyone. It all comes down to your plans, your budget, and how long you expect to own your home.

Scott and the Smolen Team can help you understand your options and connect you with a lender who’ll walk you through the numbers to make the best decision for your situation.

In today’s digital age, first impressions happen online. With most homebuyers starting their search from their phones or laptops, offering a virtual tour can make your listing stand out and capture attention long before anyone steps through the door.

Whether you’re selling a starter home or a luxury property, a well-made virtual tour can be one of your most effective marketing tools. Here’s why.

1. Virtual Tours Let Buyers “Step Inside” from Anywhere

A virtual tour gives potential buyers a true sense of your home’s layout, flow, and size — something photos alone can’t always convey.
Instead of scrolling through still images, buyers can move through each room at their own pace, explore angles they care about most, and start imagining themselves living there.

For out-of-town buyers or those with busy schedules, this kind of access can be a game changer. It allows your home to be viewed 24/7 — even by people who might not otherwise be able to visit in person.

2. They Help Your Listing Stand Out Online

In a crowded online marketplace, listings with virtual tours tend to attract more clicks, more time spent viewing, and more engagement overall. Buyers are naturally drawn to interactive experiences.

When your listing includes a virtual tour, it signals to potential buyers that you’re serious about marketing your home and that it’s worth their attention.

3. Virtual Tours Build Buyer Confidence

Transparency sells homes. When buyers can explore your home in detail online, they gain a clearer understanding of what to expect — reducing uncertainty and building trust.

That confidence often translates to more qualified showings, stronger offers, and fewer surprises once buyers see the property in person.

4. They Attract Serious, Ready-to-Move Buyers

Virtual tours help buyers self-qualify. Those who schedule an in-person showing after taking a virtual tour are usually more serious and better informed.

This means fewer “just browsing” visitors and more meaningful showings — saving you time and minimizing disruptions while your home is on the market.

5. They Complement Every Other Marketing Effort

A virtual tour doesn’t replace professional photos or open houses — it enhances them. When paired with high-quality photography, staging, and an expert marketing plan, a virtual tour gives your home a powerful digital presence that draws in both local and relocating buyers.

The Bottom Line

A virtual tour isn’t just a trendy add-on — it’s an essential part of modern real estate marketing. By giving buyers a realistic view of your home, you expand your reach, boost engagement, and attract more serious offers.

If you’re thinking about selling your home, Scott and The Smolen Team can help you create a professional marketing plan that includes high-quality virtual tours, stunning photos, and the right online exposure to bring in the right buyers.  Contact us today to learn how we can showcase your home — virtually and beyond.

By Caleb Leonard

Buying a home is a significant financial commitment and choosing between a new build and an older home deserves careful consideration. The sticker shock of a new build comes with the reassurance that maintenance woes are a few years away (hopefully), and the financial upkeep of older homes is sweetened by the location and character of established neighborhoods.

Choosing between buying a new construction and a resale property is less about which option is inherently better and more about defining your priorities, namely cost, condition, and location.

To begin, let's assess your priorities.

Defining Your Home Buying Priorities

• Cost: Do you have a limited upfront budget that makes immediate repairs a burden, or are you prepared to pay a higher initial price in exchange for future peace of mind?

• Time and Effort: Do you need to move in ASAP, or are you willing to wait 6 to 12 months for your dream home?

• Aesthetics and Function: Do you prefer a modern layout with advanced energy efficiency, or do you value the architectural character and mature trees that only older homes can offer?

Financial Considerations: Upfront Price vs. Long-Term Value

New homes are usually more expensive, and there is less room for negotiation. However, the builder or developer may offer incentives, such as assistance with closing costs or mortgage rate buy-downs.

The higher price of a new home buys you the peace of mind that everything is still under warranty and state-of-the-art.

The biggest gamble with buying a newly constructed home is the tax assessment since you won't know your development's worth until the county appraiser completes the final valuation of the entirely built property. Beware of significant increases in your annual property tax bill.

Resale homes often have a lower sticker price, and there's ample room for price negotiation. However, incentives typically rely on seller concessions. 

Despite passing a home inspection, buyers of a resale home should expect to encounter some home repairs and budget accordingly. 

Older homes typically have more stable or lower historical taxes.

Condition, Features, and Energy Efficiency

New homes offer open-concept floor plans, higher ceilings, smart home features, and the ability to select finishes, such as flooring, cabinetry, and paint colors, before moving in. 

New builds let you further customize your dream home. A chef's kitchen with a ducted range hood? A shower with benches and a rainfall showerhead? These modern luxuries are more accessible in new homes.

New builds feature energy-efficient appliances, double-pane low-E windows, and superior insulation, resulting in lower energy bills.

Despite the polished appearance of a new build, it is essential to research the builder's reputation, double-check the construction phase inspections, and hire your own inspector.

Resale homes sometimes have dated floor plans, lower ceilings, and may require expensive, invasive remodeling to achieve modernization and personalization.

Older homes may have outdated technology, older appliances, and inadequate insulation. Owners of older homes will need to consider the cost of higher monthly utility bills vs. retrofitting the house to improve efficiency.

Timeline, Location, and Market Competition

Money and maintenance aside, homebuyers care about resale value, move-in timelines, and, of course, location, location, location. Oh, and never underestimate the allure of mature trees!

New homes often face construction delays, as well as labor and material shortages, which can push back your move-in date by several months. This uncertainty attracts less competition from buyers, resulting in fewer bidding wars.

Newer construction often occurs in developing areas, such as suburbs and exurbs, so commute times may be longer while amenities and infrastructure continue to evolve. Keep in mind that construction noise and delays will be a temporary way of life.

Resale homes are closer to the city center. Their proximity to offices, shopping centers, and schools makes them highly sought after, often leading to bidding wars. If you're looking to buy a resale home, you may need to pay above the asking price.

Unlike new homes, the closing timeline for resale homes is usually 30-60 days.

Neighborhood Maturity, Character, and Lot Size

If you've ever driven through the historic neighborhoods of your city, you can feel the heritage of homes that have been marinating in coexistence for decades. The trees embrace from across the street, and the lot sizes give you room to breathe. 

Homebuyers seeking larger lots, architectural diversity, mature trees, and a sense of community should consider resale homes.

If you're not a fan of landscaping, a newer home with a smaller lot size may be a better fit for your lifestyle.

How to Make the Right Choice for You

Choosing between a new construction and a resale property is a personal decision that affects your finances and lifestyle.  Examine your budget, move-in timeline, and priority checklist, taking into account cost, condition, and location.

Whether you're looking to buy a new or resale home, Scott and the Smolen Team will help you find what you are looking for!

Caleb Leonard is a freelance writer for HomeGnome.com and marketing professional. A graduate of the University of North Texas, his interests include gardening, podcasts, and studying Spanish.

Mortgage rates have started to come down — a welcome change for both buyers and sellers. But the big question remains: will this trend continue, and how much lower could rates go?

According to market analysts, there’s still room for mortgage rates to decline over the next year. One of the key indicators to watch is the 10-year Treasury yield, which has historically moved in tandem with long-term mortgage rates.

The Connection Between Mortgage Rates and the 10-Year Treasury Yield

For more than 50 years, the 30-year fixed mortgage rate has closely mirrored the movement of the 10-year Treasury yield, a benchmark used to gauge broader interest rate trends.

• When the Treasury yield rises, mortgage rates typically follow.

• When it falls, mortgage rates tend to drop as well.

This relationship has proven remarkably consistent, with a typical gap — known as the spread — averaging around 1.76 percentage points (or 176 basis points) between the two.

The Spread Is Finally Shrinking

In recent years, that spread has been much wider than usual, largely due to economic uncertainty and market volatility. Think of the spread as a “fear gauge” — when investors are uneasy about inflation or economic stability, they demand higher returns, which pushes mortgage rates higher.

The good news? That extra margin of uncertainty is starting to fade. As confidence gradually returns to the market, the spread is narrowing, which is an encouraging sign for anyone hoping to see lower mortgage rates ahead.

The 10-Year Treasury Yield Is Expected To Decline

Beyond the shrinking spread, the 10-year Treasury yield itself is projected to decline in the coming months. When you combine those two factors — a lower yield and a tighter spread — you get a strong setup for mortgage rates to trend downward into next year.

At the time of this writing, the 10-year Treasury yield sits around 4.09%. When you add the historical spread of 1.76%, that suggests mortgage rates could settle near 5.85% — a noticeable improvement from the higher levels seen in recent years.

While short-term fluctuations are inevitable, the broader 2026 outlook points to a gradual easing of rates as inflation continues to cool and the economy stabilizes.

What This Means for Buyers and Sellers

For buyers, easing rates could improve affordability and open up more purchasing power.
For sellers, lower rates may encourage more buyers to re-enter the market — helping drive stronger demand and more competitive offers.

However, because rate changes can shift quickly with economic data, it’s essential to stay informed and plan strategically.

Bottom Line

Tracking mortgage rate trends and economic forecasts can be complex — but you don’t have to navigate it alone.

Scott and the Smolen Team has the local experience and market insight to help you make confident decisions, whether you’re buying, selling, or simply planning your next move.