First-time homebuyers should follow eight essential steps: assess debt and ensure a manageable debt-to-income ratio, check and correct credit score errors, review budget for additional costs, determine down payment, get preapproved for a mortgage, identify desired home type, research neighborhoods, and compare mortgage rates. This preparation will help in confidently searching for a new home.
Fed projects a 2% in rate cuts by end of 2027.
Forecast: Fed funds rate to decline to 2.25%–2.50% by late 2027.
Despite tariff-driven inflation bumps, slowing growth will push Fed to cut further.
10-year Treasury yield forecast to fall to 3.25% by 2028, down from 4.2% in 2024.
Fed sold $2 trillion in long-term securities since June 2022—quantitative tightening continues.
The experts forecast a 3% national housing price increase in 2025 due to limited supply.
High mortgage rates discourage homeowners from selling, keeping supply low and supporting price stability.
High mortgage rates in 2025 slowed home sales, but improvement is expected starting in 2026.
Experts predict existing home sales may ↑ 10–15% as conditions improve in 2026.
Mortgage rates increased after five weeks of declines, driven by stronger-than-expected economic indicators.
Experts forecast minimal rate relief through late 2025 despite Federal Reserve predictions of future cuts.
Waiting for rate drops may backfire as housing prices remain high and supply stays limited.
Buyers can gain ground by exploring options like fixer-uppers, condos, or 15-year Real Estate loans.
Creative strategies help offset costs in a tough Real Estate market while building long-term equity.
U.S. home prices are projected to decline by 0.9% by Early-Q2 2026.
The forecast reverses earlier predictions of price increases, signaling a cooling housing market.
Long Forecast predicts slight drops: July 6.84%, August 6.79%, September 6.74%.
MBA expects 6.7% average in Q3; NAR, Realtor.com see 6.2%–6.4% by year-end.
15-year fixed rates forecasted to drop from 6.01% in July to 5.88% in September.
Experts expect gradual rate declines, but steady trends likely due to economic uncertainty and Fed policy.
Mortgage rates closely follow Treasury yields, with market spread widening from volatility.
Mortgage rates for 30-year fixed loans have dropped to around 6.63%, the lowest since April, due to a weaker-than-expected jobs report causing Treasury yields to fall. Experts suggest this dip may be temporary but advise buyers to act now rather than wait for perfect rates, as refinancing remains an option. Lower rates slightly improve affordability, offering buyers increased purchasing power amid a slowly easing housing market.
Apartment vacancy rates rose to 7.1% in July, signaling an overbuilt market with slowed rent growth. Despite high rents, the market favors renters, with rent days on market decreasing. Utah's average rent dropped to $1,399 in 2025, causing many to delay home buying. New apartment construction is slowing, and home sales are down slightly, but increased listings offer buyers more options and potential deals.
The Fed held rates at 4.25–4.5%, ignoring Trump’s calls for aggressive cuts.
Trump imposed steep tariffs, triggering fears of price hikes on goods and vehicles.