Fannie Mae’s Mortgage Rate “Range” to Expect in 2024 and 2025

Episode #184

Home prices will rise, home sales will jump, and mortgage rates will fall to a familiar range, according to Fannie Mae’s Doug Duncan. In their newest consumer sentiment survey, Fannie Mae points to a “tale of two housing markets” where both buyers and sellers are stuck. Rates aren’t low enough to get back into the housing market, and with prices set to rise, why should homeowners sell?

Doug provides some incredible insight on today’s episode, explaining why housing market sentiment is still so low, what could boost homebuying demand, and where Fannie Mae expects mortgage rates to be in 2024 and 2025. If you’re praying for rates to hit the rock-bottom levels of 2020 and 2021, Doug has some news you NEED to hear.

But rates and prices aren’t the only factors impacting buying/selling. Our huge undersupply of housing is making the market even more competitive as builders remain stuck, forced to pay high interest rates and high labor costs, all during a time when most of America doesn’t want to purchase. How do we get out of this housing market stalemate? Stick around as one of the top minds in housing gives us his answers.

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With Mortgage Rates Set To Drop, Will This Be the Year Sellers Come Back?
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00:00 Intro

01:31 Affordability Crushes Consumer Sentiment

05:41 Home Sales, Prices to Rise

09:34 How Low Mortgage Rates Will Go

13:06 We NEED More Homes

15:18 Builders Are Stuck!

17:27 The Mortgage "Rate Range"

[badbattleaxe]

It’s sad, these high interest rates and over inflated value are stopping me from buying a starter home. I saved up 20k to put down on a $150, 000 starter home. come to find out these homes are now going for 300k with 7% interest rates! I am a single guy make roughly 100K a year and I can’t afford the monthly payments on a small two bedroom house in the Midwest. The American dream is dead.😢

[bilko_]

This guest speaker is lying. Rate hikes, not cuts!

[NoName-skwp]

Dave when are you guys doing an episode on the North East Market? Specifically NYC and the suburbs surrounding it (Long Island, Westchester, NJ and CT)?

You have too much focus on other sides of the country. We need some love too 🙌🏽

[Chew]

The only crash in real estate has been in commercial office space. Walk into any office building and consider that each empty cubicle is now an extra room for a home office in residential real estate.

[slf]

These prices cannot sustain normal Canadian living

[alicechodkowski]

It's such a difficult time to buy or sell. Supply is low, intererest rates are high, prices are high, and even if you sell, where can you afford to buy?

[NevadaNotaryServices]

There were so many diff points that Dough made that I didnt think about. Great interview❤

[Nonsequitor]

He thinks the fed will cut interest rates 4x in 2024? Shows how much he knows.

[kahearne]

Fantastic helpful info. from a Canadian with an open variable rate on a condo. Unclear what move to make but broke with a disability and not sure where to or if or when to move and this info. has been level headed and extremely helpful in making my decisions and many :)

[shannondavis]

Rates need to stay up & prices need to come waaayyy down!!!

[marilynh]

Why don't the price of the house just come down.