The housing market shows a degree of resilience, marked by stable mortgage rates and reduced inventory, despite looming tariffs from the Trump administration. While mortgage rates have held steady, the recent week exhibited only minor fluctuations in response to tariff news. A significant factor in maintaining this stability has been the improvement in mortgage spreads. Forecasts for 2025 predict more improvements in these spreads, which could reduce current mortgage rates significantly, contributing to a potential recovery in home sales.
Despite looming tariffs, mortgage rates remained stable with only mild volatility observed. A significant change in spreads could lead to lower mortgage rates moving forward.
If the mortgage spreads of 2023 were applied today, rates would be closer to 8%. Luckily, current spreads have improved and remain favorable.
Collection
[
|
...
]