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Entry-level homebuyer interest drops as luxury market stays strong, revealing a divided housing market.

Market News
19 Aug 2026
PRNewsWire
View Source
Neutral
pluang ai news

A new Realtor.com report reveals a K-shaped housing market where financially secure luxury buyers remain active, while price-sensitive entry-level buyers retreat due to affordability issues. Since 2021, the share of online views for homes priced below $370,000 has dropped significantly, aligning with a reduced supply in that segment. Meanwhile, luxury home inventory and buyer engagement remain stable, highlighting a market split by financial capacity rather than broad accessibility. This shift suggests a more stratified market rather than a balanced recovery, with lower-priced home demand falling below pre-pandemic levels.

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