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The two big housing market trends to watch in 2025

Housing Wire

However, there are two big trends that stand out as we launch into 2025 affordability and sellers in the market. In 2025, housing affordability in the U.S. That growth is in jeopardy if we stay at the high end of the mortgage rate range into the first quarter 2025. These are unsold new listings.

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2025 could be the last year of inventory shortage

Housing Wire

Home prices in 2025 are a couple percentage points above where they were last year at this time. New listings To get a lot of homes on the market though we need some sellers. There were only 54,000 new listings of single-family homes unsold this week. Unsold new listings amount to 4.8%

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Better mortgage spreads are capping rates in 2025

Housing Wire

Better mortgage spreads are limiting how high rates can rise in 2025. Today, I want to explain why this topic is essential as we look ahead to the rest of 2025. However, spreads have improved in 2024 and 2025, which is helping to limit how high mortgage rates can go this year. In 2023, spreads reached as high as 3.10%.

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Home price signals continue to weaken for 2025

Housing Wire

There are three big trends in the spring 2025 housing market: Supply continues to build. This is measurable in both the total unsold inventory and the number of new listings each week. 2025 has more homes on the market with price cuts than any March in the last decade. Thats right about what well end 2025 with also.

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What to expect from the 2025 housing market

Housing Wire

What will the housing market look like in 2025? We already see many signals for what to expect, including last week’s data on inventory , new listings and price reductions, which I analyze below. For a more comprehensive look, read our 2025 Housing Market Forecast covering home prices, home sales volumes and more.

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Will home prices fall in 2025 with more inventory?

Housing Wire

In 2025, mortgage rates have stayed stubbornly high for yet another spring buying season. Our 2025 housing market predictions are based on the assumption that lower mortgage rates will spur demand and boost the number of homes sales transactions. Additionally, there were 14% more new listings unsold compared to this time last year.

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Lower mortgage rates are spurring housing demand

Housing Wire

Additionally, our weekly pending contract data and new listings are trending positively compared to last year. 2025 has been much different. As we can see, the outlook for 2025 appears to be different. As we can see, the outlook for 2025 appears to be different.

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