Short sales are making a comeback. You need a gameplan
Short sales are ticking up in 2026, Michael Krein writes. Here's how agents can guide underwater sellers through the process — and avoid the pitfalls.
As the construction industry continues to navigate the aftermath of economic fluctuations, the resurgence of short sales in 2026 signals a shift in the real estate market that professionals should be prepared for. For construction news, this development holds significance because it directly impacts property values, construction demand, and the overall health of local markets.
The increase in short sales indicates that more homeowners are struggling to keep up with mortgage payments, leading to a rise in underwater mortgages where the homeowner owes more on the mortgage than the property is worth. This situation can lead to a surge in construction activity focused on redevelopment or renovation projects, as short sales often result in properties being sold at discounted prices, attracting investors and developers looking to refurbish or rebuild.
To watch next, industry professionals should keep an eye on how regulatory changes and market conditions influence the short sale landscape. Additionally, understanding the strategies that agents use to facilitate short sales, such as negotiating with lenders and managing the sale process efficiently, will be crucial. Construction companies and investors should also monitor local market trends to identify opportunities for growth and potential challenges in the form of increased competition for properties or fluctuations in material and labor costs.
Originally reported by inman.com. ConstructionNews adds analysis for real estate & property readers.