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80
August 2025
F I N A L T H O U G H T S
"affordability headwinds persist"
Sam Khater, Chief Economist at Freddie Mac, explained that although there are still financial
hurdles to overall affordability for many Americans, rate stability and a modest increase in inventory
could help persuade potential homebuyers to jump into the market sooner.
"a cloudier economic outlook"
Joel Kan, MBA's VP and Deputy Chief Economist, said that although new home purchase
applications fell in June, an increasingly uncertain economic outlook and higher mortgage rates
continue to deter prospective buyers, but rising inventory, builder incentives, and reduced pricing
have enticed some purchasers back to the market.
"committing to a purchase"
Laura Eddy, VP of Research and Insights at Realtor.com discussed how millennials' interest in
purchasing a home has significantly increased this past spring compared to last fall, despite the
current state of the market and stubbornly high mortgage costs, as many homebuyers prioritize lower
rates before making a purchase.
"foreclosure activity continued"
Rob Barber, CEO at ATTOM, revealed how foreclosure activity continued its upward trend in the
first half of 2025, but while overall numbers remain below pre-pandemic levels, the steady increase
indicates that some homeowners are still having financial difficulties in the current housing and
economic environment.
"home shoppers tapped the brakes"
Danielle Hale, Chief Economist at Realtor.com, talked about how affordability is still the biggest
factor driving home searches, but other factors play a large role in considering where to live, as
homebuyers slowed down their searches compared to the previous year.
