Housing Market Trends

From the First American Economic Center

The First American Economic Center has you covered with in-depth analysis and expert insights on the latest data and trends in the industry.

Peak Homebody Era is Pummeling the Housing Market

By Odeta Kushi on May 23, 2025
Key Points: There is a strong relationship between the median length of time that people stay in their home, known as tenure, and sales activity. Historically, the median tenure length in the U.S. has been six years, but today it’s reached a historic high of nearly nine years. The drivers behind the rise in tenure length are multi-faceted but ... Read More

Housing Affordability Mortgage Rates Existing-Home Sales

Southern Discomfort: Weather and Economic Headwinds Drive Home Insurance Premiums Through the Roof

By Sam Williamson on May 7, 2025
Key Points: Homeowners insurance premiums in the U.S. increased by 21 percent between 2021 and 2023, driven by severe weather-related events, rising construction costs, and higher claim payouts. The South, particularly coastal cities, faced the steepest hikes, with eight of the 10 metros with the fastest-growing premiums located in the region. ... Read More

Affordable housing Housing Affordability

Affordability Improves Amid Year-Long Slide in National House Price Appreciation

By Mark Fleming on April 30, 2025
Key Points: Rising inventory and affordability challenges are cooling price appreciation nationally. House prices have dipped below their peaks in 47 of the top 50 markets. Despite price declines, significant equity buffers remain for those that purchased over the boom period. In February 2025, home buyers received some welcome news as mortgage ... Read More

Housing Real House Price Index Affordability Mortgage Rates

The Primary Force Holding Back the Housing Market Loosens

By Odeta Kushi on April 18, 2025
Key Points: The rate lock-in effect peaked in Q4 2023 with a 3.2 percentage point difference between the average prevailing mortgage rate and the average outstanding mortgage rate. Due to lower mortgage rates and steadily increasing share of people buying homes at higher rates, the rate lock-in effect has loosened, prompting higher for-sale ... Read More

Housing Affordability Mortgage Rates Existing-Home Sales

Today’s Pace of Home Sales is Weaker Than Many Realize

By Mark Fleming on April 3, 2025
Key Points: Comparing the pace of home sales today to past decades without considering the growing number of households is misleading. Existing-home sales as a percentage of total households have declined to early 1990s levels, just above 3 percent, and well below the long-run average of 4.1 percent. The number of new-home sales as a percentage of ... Read More

Housing Affordability Existing-Home Sales

Affordability Poised to Improve as Prices Cool, Mortgage Rates Stabilize

By Mark Fleming on March 26, 2025
Key Points: Affordability started the year poorly, but preliminary February data shows some improvement due to lower mortgage rates, slower price appreciation, and rising incomes. Price growth, a key driver of affordability trends, is a function of supply and demand dynamics in the housing market, which can be measured in months' supply. Months' ... Read More

Housing Real House Price Index Affordability Mortgage Rates