April 28, 2025 (press release) –
WASHINGTON, DC – Single-family home sales are expected to close 2025 at 4.86 million units, and new single-family construction is expected to total approximately 964,000 units this year, according to the April 2025 Economic and Housing Outlook from the Fannie Mae (FNMA/OTCQB) Economic and Strategic Research (ESR) Group. Revisions to the housing forecast were driven by a combination of recent actuals and adjustments to the ESR Group’s expectations for the macroeconomy, including economic growth, which is forecast at 0.5% for full-year 2025 and 1.9% for 2026. The ESR Group expects mortgage rates to end 2025 at 6.2% and 2026 at 6.0%, and projects home prices, as measured by the Fannie Mae Home Price Index (FNM-HPI), will rise 4.1% in 2025 and 2.0% in 2026.
Visit the Economic and Strategic Research site at fanniemae.com to read the full April 2025 Economic and Housing Outlook, including the Economic Developments Commentary, Economic Forecast, and Housing Forecast. To receive email updates with other housing market research from Fannie Mae’s Economic and Strategic Research Group, please click here .
Opinions, analyses, estimates, forecasts, beliefs, and other views of Fannie Mae's Economic and Strategic Research (ESR) Group included in these materials should not be construed as indicating Fannie Mae's business prospects or expected results, are based on assumptions, and are subject to change without notice. How this information affects Fannie Mae will depend on many factors. Although the ESR Group bases its opinions, analyses, estimates, forecasts, beliefs, and other views on information it considers reliable, it does not guarantee that the information provided in these materials is accurate, current, or suitable for any particular purpose. Changes in the assumptions or the information underlying these views could produce materially different results. The analyses, opinions, estimates, forecasts, beliefs, and other views published by the ESR Group represent the views of that group as of the date indicated and do not necessarily represent the views of Fannie Mae or its management.
About the ESR Group
Fannie Mae’s Economic and Strategic Research Group, led by Chief Economist Mark Palim, studies current data, analyzes historical and emerging trends, and conducts surveys of consumer and mortgage lender groups to provide forecasts and analyses on the economy, housing, and mortgage markets.
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