Fannie Mae forecast for 2025 home sales, GDP growth improves
Briefly

The article discusses the latest economic forecasts regarding inflation and mortgage rates. Inflation expectations, as measured by the Consumer Price Index (CPI), are stable, with a projected rise of 3.5% in 2025. Core CPI is slightly adjusted to 3.8% for the same year. Meanwhile, mortgage rates are expected to decrease, with 30-year fixed-rate mortgages projected at 6.1% by the end of 2025. Additionally, home sales are expected to rise to 4.92 million, and mortgage origination volumes are set to increase to $1.99 trillion in 2025.
Despite the improved growth outlook, inflation expectations remain largely unchanged. The Consumer Price Index (CPI) is projected to rise 3.5% in 2025.
Fannie Mae lowered its forecast for mortgage rates, projecting a 30-year fixed-rate mortgage rate to end 2025 at 6.1%, down from an earlier estimate.
The outlook for home sales has improved slightly, with total existing- and new-home sales expected to reach 4.92 million in 2025.
Mortgage origination volume is also set to rise modestly, with Fannie Mae forecasting $1.99 trillion in 2025 and $2.38 trillion in 2026.
Read at www.housingwire.com
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