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PROMOTING THE WELFARE OF HOMEOWNERSHIP
With representation from the BCFP, HUD, FHFA,
Fannie Mae, Freddie Mac, Ginnie Mae, and others,
the annual Five Star Government Forum is a
day-long gathering where leaders in mor tgage
servicing and the federal government engage in
open dialogue surrounding the protection and
preservation of American homeownership.
THEPOLITICS
OFPROGRESS
THE 2019 FIVE STAR
GOVERNMENT FORUM
APRIL 23, 2019
NEWSEUM | WASHINGTON, D.C.
LEADERSHIP SPONSORS
CO-HOST SPONSORS
HOSTING SPONSOR
THE HOMEBUYER'S ECONOMY
Economic growth is projected to slow to
2.2 percent in 2019, down from the previous
year's 3.1 percent growth, according to Fannie
Mae Economic and Strategic Research Group's
Economic and Housing Outlook. Fannie Mae
notes that despite the boost in 2018, household
income is expected to wane this year, but the
labor market is expected to remain solid.
According to Fannie Mae, the housing
market should remain relatively stable as
interest rates are expected to change very little
in 2019, giving potential homebuyers new
opportunities following 2018's "erratic interest
rate movement."
Fannie Mae notes that the Fed's plan for
the year remains central to the forecast, and
with tightening financial conditions and muted
inflationary pressure, only one interest rate hike
expected for the year.
"Economic growth in 2018 will likely
turn out to be the strongest of the current
expansion, and inflation remained anchored
even as the unemployment rate dipped to
multi-decade lows. However, home sales
experienced a setback, partly attributable to the
most aggressive pace of monetary tightening
of the expansion," said Doug Duncan, Chief
Economist at Fannie Mae.
"is year, the expansion is likely to become
the longest on record, but the path to continued
growth faces a number of downside risks with
fewer upside risks," Duncan said. "With fading
impacts of fiscal policy and tight financial
conditions around the globe, we're seeing
moderating economic growth in the next
couple of years. e Fed's continued efforts
to unwind expansionary monetary policies
implemented during the recession have the
potential to add to the headwinds facing the
economy. However, we believe that contained
price pressures should afford the Fed sufficient
latitude to slow or pause rate hikes this year.
is will allow the economy to continue
growing, albeit at a slower pace, and housing to
regain its footing."
