After holding steady at 323 points for two consecutive months, the PTC Index fell to 297 points in July, signaling a mid-buying season lull we weren’t expecting. In all honesty, July 2026 was a dud. Nearly every major indicator we track moved in the wrong direction, making July a noticeable departure from the momentum we saw heading into summer. Still, one sluggish month doesn’t necessarily define the direction of the market.
With August representing our last real opportunity to close out the traditional summer buying season with some momentum, we’ll be watching closely to see whether July was simply a mid-summer lull or an indication of a softer market heading into fall.
New Home Sales…
New home sales took a tumble in July, with sales falling 12 percent from the previous month. Compared with July 2025, however, new home sales were essentially flat, indicating that while the monthly decline was significant, overall activity remains roughly in line with where the market stood one year ago.
Existing Home Sales…
Existing home sales also struggled in July, falling just over nine percent from June. Despite the monthly setback, existing home sales remained about 10 percent higher than July 2025, providing at least one bright spot in an otherwise lackluster month. The year-over-year improvement suggests underlying demand remains stronger than it was last summer, even if July failed to deliver the seasonal boost we would typically hope to see.
Building Permits…
After two consecutive months of gains, building permit filings dropped 24.9 percent in July compared with June. The year-over-year comparison was equally soft, with filings down 29.1% percent from July 2025. The decline effectively erased much of the momentum we saw in May and June and suggests builders may be taking a more cautious approach as we move through the second half of the year.
Average Treasure Valley Sales Price…
If there was a standout in July’s report, it was home prices. For the fourth consecutive month, the average Treasure Valley sales price increased, rising over two percent from June. Even more notably, the average sales price was about seven percent higher than July 2025. While transaction activity slowed considerably during the month, continued price appreciation indicates that values are holding firm (and moving higher) even as buyers and sellers appear to be taking a more cautious approach.
The PTC Index is a monthly measurement of the vibrancy of the Treasure Valley real estate market. Based on a custom-weighted algorithm, it combines nine critical measurements of the real estate market into a single, useful number: the PTC Index.