MortgagePoint » Your Trusted Source for Mortgage Banking and Servicing News
80
September 2025
F I N A L T H O U G H T S
"a win for affordability"
Joel Berner, Senior Economist at Realtor.com, discussed how certain U.S. metros are seeing a
convergence of strong local job markets and builder investments, highlighting the positive effects on
affordability, livability, and long-term resilience that occur when communities lower zoning restrictions
and encourage sustainable building techniques.
"homebuyers on the sidelines"
Chen Zhao, Head of Economics Research at Redfin, revealed that although the unemployment
rate in July was at 4.2%, which is historically low, the typical home purchaser's impressions of the labor
market varied, as many Americans remain concerned about job security.
"a steeper yield curve"
Joel Kan, VP and Deputy Chief Economist for the Mortgage Bankers Association, detailed that due
to the increased availability of ARM loans, credit availability increased slightly in July, consistent with
a steeper yield curve and the jumbo-conforming spread returning to negative territory—with the
average jumbo rate in July being about 8 basis points lower than the average conforming rate.
"making real sacrifices"
Daryl Fairweather, Chief Economist at Redfin, revealed that to cover the basic cost of housing,
many Gen Zers and millennials are making significant financial sacrifices, such as taking on side jobs,
selling their belongings, or even postponing doctor's appointments and car purchases.
"real-world purchasing power"
Danielle Hale, Chief Economist at Realtor.com, explained how elevated borrowing rates have
reduced the average American household's purchasing power even as incomes have increased,
as many homebuyers are being forced to change their expectations as a result of this dynamic,
which may include searching for smaller homes, relocating farther away, or postponing their goal of
becoming homeowners entirely.
