The U.S. housing market has entered 2026 with affordability metrics exceeding prior extremes, including levels seen during the 2006 housing bubble. Elevated home prices, mortgage rates above 6%, and slower income growth have combined to push ownership costs beyond the reach of most households, according to multiple industry and financial analyses.

The Congressional Budget Office (CBO) has significantly revised its 10-year fiscal outlook, projecting an additional $1.4 trillion in cumulative federal deficits between 2026 and 2035 compared to its January 2025 baseline. The updated forecast reflects higher government spending, softer revenue expectations, and a rapidly expanding interest burden.

The Bank of Russia lowered its benchmark key interest rate by 50 basis points to 15.5% on February 13, 2026, extending its easing cycle with a sixth consecutive cut. The decision came as a surprise to most economists, who had expected policymakers to hold rates steady at 16% amid a recent inflation uptick.

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