Housing Market Trends and Economic News Update: February 07, 2025

Thompson Kane’s team is dedicated to helping our community track the ever-evolving landscape of the housing market trends. Here are this week’s latest developments:

Housing Market Trends

• Home Purchase Applications Slip: Mortgage applications for home purchases declined by 4% from the previous week but remained consistent with levels seen at this time last year.
• More Sellers Adjusting Prices: Realtor.com data shows an increase in home price reductions, with 15.6% of sellers lowering their asking prices last month, up from 14.7% in January 2024.
• Tariff Concerns for New Construction: The NAHB warns that tariffs on key building materials could lead to higher new home prices, as over 70% of softwood lumber and gypsum used in U.S. home construction come from Canada and Mexico.

Economic Highlights

• Job Openings Decline, Hiring Steady: The latest JOLTs report revealed a drop in available job openings for December, while hiring activity, resignations, and layoffs remained largely unchanged.
• Focus on Lowering Treasury Yield: Treasury Secretary Bessent stated that the Trump administration aims to bring down the 10-year Treasury yield, a move that could provide relief for mortgage rates.
• Tariff Delay Offers Short-Term Stability: The U.S. has postponed implementing new tariffs on Canada and Mexico for 30 days, helping mortgage rates hold steady for now.

Keeping you up-to-date with the constantly changing housing market

At Thompson Kane, we understand the importance of staying ahead in a rapidly changing market. Our goal is to equip you with the latest insights to help you make informed decisions. The right insight will help you confidently navigate your business and financial endeavors. For more frequent updates, follow the Thompson Kane Newsfeed and connect with us on Facebook for bi-weekly news and valuable content. Your success is our priority, and we’re here to keep you informed every step of the way.

“The major fortunes in America have been made in land.”
– John D. Rockefeller

Follow the Thompson Kane Facebook page for our latest mortgage & housing insights!