{"id":160,"date":"2024-10-21T16:28:17","date_gmt":"2024-10-21T21:28:17","guid":{"rendered":"https:\/\/twilabertrand.sites.c21.homes\/?p=160"},"modified":"2024-10-21T16:28:17","modified_gmt":"2024-10-21T21:28:17","slug":"what-to-expect-from-mortgage-rates-and-home-prices-in-2025","status":"publish","type":"post","link":"https:\/\/twilabertrand.sites.c21.homes\/?p=160","title":{"rendered":"What To Expect from Mortgage Rates and Home Prices in 2025"},"content":{"rendered":"

What To Expect from Mortgage Rates and Home Prices in 2025<\/a><\/h2>\n
For Buyers,\u00a0<\/a><\/span>For Sellers,\u00a0<\/a><\/span>Home Prices,\u00a0<\/a><\/span>Mortgage Rates,\u00a0<\/a><\/span>Affordability<\/a><\/span><\/div>\n
Article from Keeping Current Matters<\/div>\n
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Curious about where the housing market is headed in 2025? The good news is that experts are offering some promising forecasts, especially when it comes to two key factors that directly affect your decisions:\u00a0mortgage rates<\/a>\u00a0and\u00a0home prices<\/a>.\u00a0 Continue reading for more on – What To Expect from Mortgage Rates and Home Prices in 2025.<\/p>\n

Whether you’re thinking of buying or selling, here\u2019s a look at what the experts are saying and how it might impact your move.<\/p>\n

Mortgage Rates Are Forecast To Come Down<\/strong><\/h4>\n

One of the biggest factors likely affecting your plans is mortgage rates, and the\u00a0forecast<\/a>\u00a0looks positive. After rising dramatically in recent years,\u00a0experts<\/a>\u00a0project\u00a0rates<\/a>\u00a0will\u00a0ease<\/a>\u00a0slightly throughout the course of 2025 (see graph below<\/em>):<\/p>\n

\"a<\/a>While that decline won\u2019t be a straight line down, the overall trend should continue over the next year. Expect a few bumps along the way, because the trajectory of rates will depend on new economic data and inflation numbers as they\u2019re released. But don\u2019t get too hung up on those blips and reactions from the market as they happen. Focus on the bigger picture.<\/p>\n

Lower mortgage rates mean\u00a0improving affordability.<\/a>\u00a0As rates come down, your monthly mortgage payment decreases, giving you more flexibility in what you can afford if you buy a home.<\/p>\n

This shift will likely bring more buyers and sellers back into the market, though. As Charlie Dougherty, Director and Senior Economist at\u00a0Wells Fargo<\/em>, explains:<\/p>\n

\u201cLower financing costs will likely boost demand by pulling affordability-crunched buyers off of the sidelines.\u201d<\/em><\/p><\/blockquote>\n

As that happens, both inventory and\u00a0competition<\/a>\u00a0among buyers will ramp back up. The takeaway? You can get ahead of that competition now. Lean on your agent to make sure you understand how the shifts in rates are impacting demand in your area.<\/p>\n

Home Price Projections Show Modest Growth<\/strong><\/h4>\n

While mortgage rates are expected to come down slightly, home prices are\u00a0forecast<\/a>\u00a0to rise\u2014but at a much more moderate pace than the market has seen in recent years.<\/p>\n

Experts<\/a>\u00a0are saying home prices will\u00a0grow<\/a>\u00a0by an average of about 2.5% nationally in\u00a02025<\/a>\u00a0(see graph below<\/em>):<\/p>\n

\"a<\/a>This is far more manageable than the rapid price increases of previous years, which saw double-digit percentage growth in some markets.<\/p>\n

What\u2019s behind this\u00a0ongoing increase<\/a>\u00a0in prices? Again, it has to do with demand. As more buyers return to the market, demand will rise \u2013 but so will supply as sellers feel less rate-locked.<\/p>\n

More buyers in markets with inventory that\u2019s still below the norm will put upward pressure on prices. But with more homes likely to be listed, supply will help keep price growth in check. This means that while prices will rise, they\u2019ll do so at a healthier, more sustainable pace.<\/p>\n

Of course, these national trends may not reflect exactly what\u2019s happening in your local market. Some areas might see faster price growth, while others could see slower gains. As Lance Lambert, Co-Founder of ResiClub,\u00a0says<\/a>:<\/p>\n

\u201cEven if the average national home price forecast for 2025 is correct, it\u2019s possible that some regional housing markets could see mild home price declines, while some markets could still see elevated appreciation. That has been, after all, the case this year.\u201d<\/em><\/p><\/blockquote>\n

Even the few markets that may see flat or slightly lower prices in 2025 have had so much appreciation in recent years \u2013 it may not have a big impact. That\u2019s why it\u2019s important to work with a local real estate expert who can give you a clear picture of what\u2019s happening where you\u2019re looking to buy or sell.<\/p>\n<\/div>\n

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Bottom Line<\/h3>\n

With mortgage rates expected to ease and home prices projected to rise at a more moderate pace, 2025 is shaping up to be a more promising year for both buyers and sellers.<\/p>\n

If you have any questions about how these trends might impact your plans, let\u2019s connect. That way you\u2019ve got someone to help you navigate the market and make the most of the opportunities ahead.<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

What To Expect from Mortgage Rates and Home Prices in 2025 Monday October 21st, 2024\u00a0For Buyers,\u00a0For Sellers,\u00a0Home Prices,\u00a0Mortgage Rates,\u00a0Affordability Article from Keeping Current Matters Curious about where the housing market is headed in 2025? The good news is that experts are offering some promising forecasts, especially when it comes to two key factors that directly […]<\/p>\n","protected":false},"author":194391,"featured_media":161,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[31,57,50,55,37,38,39,12,46],"class_list":["post-160","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-real-estate","tag-buying-facts","tag-buying-power","tag-buying-smart","tag-expert-advice","tag-mortgage-facts","tag-mortgage-rates","tag-real-estate-trends","tag-texas-real-estate","tag-trust-the-pros"],"_links":{"self":[{"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=\/wp\/v2\/posts\/160","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=\/wp\/v2\/users\/194391"}],"replies":[{"embeddable":true,"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=160"}],"version-history":[{"count":1,"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=\/wp\/v2\/posts\/160\/revisions"}],"predecessor-version":[{"id":162,"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=\/wp\/v2\/posts\/160\/revisions\/162"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=\/wp\/v2\/media\/161"}],"wp:attachment":[{"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=160"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=160"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/twilabertrand.sites.c21.homes\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=160"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}