MarketWatch: Weekly Real Estate Update for Riverdale, Bronx – 6/30/2025 – 7/7/2025

Did You Know?

* Economist Nouriel Roubini has warned of a potential recession in the latter half of the year, predicting that core inflation in the US will climb to 3.5% by the end of 2025. Roubini anticipates that the Federal Reserve will not cut interest rates until at least December, as inflation remains a significant concern. He described the economic slowdown as a “mini stagflationary shock,” where growth decelerates while inflation stays elevated. (CNBC)

* Today marks the 89th birthday of something we use almost every day….In 
1936 Several US patents were issued for the Phillips-head screw and screwdriver to inventor Henry F. Phillips.

* Many first time homebuyers have been priced out by higher interest rates combined with higher home prices and higher insurance and real estate costs. 
Vacancy rates are falling again in the rental market after more than a year of oversupply, which should help landlords push up rents. Those seeking to freeze rents may wish to see the importance of (affordable) home OWNERSHIP as the best insurance against being subject to eternally rising rents that rise mostly to cover the costs of rising operating costs? On average, 2.1 million people a year became first-time buyers over the last 20 years….. in 2024 it was under 1.2 million, over 47% below average! (WSJ)

Mortgage Rate Updates:

The average rate on a 30-year fixed mortgage backed by Freddie Mac dropped by 10 bps from the previous week to the lowest since April of 6.77% as of July 3rd, easing further from its highest level in nearly four months seen five weeks ago. “The average 30-year fixed-rate mortgage decreased for the fifth consecutive week. This is the largest weekly decline since early March. Declining mortgage rates are encouraging and, while overall affordability challenges remain, more sellers are entering the market giving prospective buyers an advantage,” said Sam Khater, Freddie Mac’s chief economist.

Source: Freddie Mac