Housing Market Trends and Economic News Update: December 6, 2024

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

• Mortgage Applications hit 11-Month High: Homebuyers showed renewed interest as purchase mortgage applications increased by 6% last week. This brought applications to their highest point since January. However, application levels remain 21% below where they were a year ago.
• Conforming Loan Limits Increasing: The Federal Housing Finance Agency announced higher loan limits for 2025. The baseline for conforming loans will rise to $806,500, while FHA loans will start at $524,225 in most regions.
• Slower Home Price Growth in 2025: According to Fannie Mae’s latest Home Price Expectations Survey, annual growth in home values is expected to decelerate from 5.2% in 2024 to 3.8% in 2025.

Economic Highlights

• Job Openings Climb, while Hiring Slows: Job openings were up in October. They reached 7.7 million—372,000 more than in September. Despite this, slower hiring trends suggest mixed signals for the labor market.
• Private Sector Job Growth Misses Expectations: The latest ADP report indicated weaker-than-anticipated growth in private payrolls for November, reinforcing uncertainty in employment trends.
• Economic Gains: The Federal Reserve’s Beige Book described slight economic expansion in recent months. Employment growth has remained subdued, inflation is modest, and business optimism is buoyed by an expected uptick in demand.

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.

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– Benjamin Franklin

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