BiggerPockets Daily

Home Price Forecasts Drop Into Negative Territory

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Apr 18, 2025
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INSIGHT

Forecasters Predict Home Price Decline

  • Major real estate forecasters are now predicting home price declines in 2025 after a period of expected market stability.
  • This shift signals rising uncertainty and a potential cooling of the housing market amidst economic challenges.
INSIGHT

Top Forecasters Show Uncertainty

  • Mark Zandi cut his 2025 home price growth forecast to 1.8%, the lowest in 14 years, while Mark Fleming stopped forecasting due to unpredictability.
  • This reflects the growing uncertainty in housing markets amid trade tensions and economic volatility.
INSIGHT

Tariffs Drive Mortgage Rate Rise

  • Tariffs and trade policies are elevating treasury yields, pushing mortgage rates higher just as buying season begins.
  • Higher rates have already led some buyers to pull back, intensifying affordability challenges.
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