January 2026 Residential Market Update Highlights for the Kansas City Region

Market Pulse: January 2026

The new year opened with renewed energy across the Kansas City market. Buyers reengaged quickly after the holidays, sellers stepped forward in stronger numbers, and price growth firmed back up. January often sets the tone for the first quarter, and this year began with clear forward momentum.

Prices: Growth reaccelerates

Median resale price: $300,000

Year over year: +5.4%

After December’s softer annual comparison, price appreciation strengthened again to start 2026. The $300,000 median reflects steady demand and continued resilience in the resale market. Well positioned homes remain commanding strong interest, particularly in move in ready condition.

New Listings: Inventory expands meaningfully

New listings: 2,871

Year over year: +16.61%

Sellers returned to the market in force. New listing activity jumped more than 16 percent compared to last January, giving buyers more selection than they have seen in recent months. This increase in supply is healthy and helps support a more balanced early spring setup.

Demand: Buyers step back in

Contracts written (pendings): 2,465 (+24.94% YoY)

Closings: 1,855 (+5.34% YoY)

Pending activity surged nearly 25 percent year over year, signaling strong buyer intent heading into late winter. While closings are naturally lighter in January due to December contract timing, they still improved versus last year. The pipeline entering February is materially stronger than it was a year ago.

What this means for you

Sellers

The market has your attention again, but preparation still matters.More competition is coming online, so pricing and presentation must be strategic from day one.Homes that show well and launch correctly are attracting early year urgency.

Buyers

Selection has improved, which creates options and negotiating flexibility.However, demand is rising quickly. Desirable homes are still moving decisively.Being fully preapproved and ready to act will matter as we approach the spring surge.

Everyone

Kansas City enters 2026 in a constructive position. Supply is improving, demand is strengthening, and price growth is steady rather than overheated. The first quarter often rewards those who move early. If you are considering a change this year, January’s data suggests momentum is already building.

Interest Rates: Stability with improving fundamentals

Interest rates have remained relatively steady over the past several months. The 50 day moving average has been largely flat, with modest improvement more recently, signaling a more stable borrowing environment than we experienced through much of 2023 and early 2024.

One of the larger themes over the past year has been the unusually wide spread between the 10 year Treasury and 30 year mortgage rates. That gap peaked at 2.91 percent in the third quarter of 2023, well above the long term average of approximately 1.79 percent.

Since then, mortgage rates have eased while the 10 year Treasury has remained comparatively stable. As of this week, the spread sits near 1.89 percent, just slightly above the historical norm.

For buyers and sellers, this normalization is meaningful. It suggests the mortgage market is functioning more efficiently again, helping create a more predictable financing backdrop as we move deeper into 2026.