🏡✨ 🚀As we step into the new year, some uplifting insights from the housing market that point towards positive trends ahead from Apollo and Goldman Goldman Sachs Apollo Global Management, Inc. 🌟🏠

📈 GS: Upward Revision in Home Price Appreciation Forecasts
Revision in national Home Price Appreciation (HPA) forecasts for 2024 and 2025. Anticipating positive shift, now project a +5.0% HPA in 2024 (up from +1.9%) and +3.7% in 2025 (up from +2.8%). 📊

🏠 Drivers of the Upward Revision
Two key factors underpin this optimistic forecast.

1️⃣ Firstly, the prospect of improved affordability as we forecast a decline in the 30-year fixed mortgage rate to 6.3% by year-end 2024, a significant adjustment from our previous estimate of 7.1%.

This revision is backed by expectations of five cuts from the Fed in 2024, fostering a robust economic backdrop and a narrowing spread between mortgage rates and Treasury yields. Lower rates are expected to bring stability to the MBS market, gaining momentum in 2025. 📉

2️⃣ Secondly, the continued strong momentum in recent data points has played a pivotal role in our upward revision. Notably, the October data from the Case-Shiller National Index indicated a remarkable 8.1% sequential home price appreciation on a seasonally adjusted annualized basis. This follows the sixth consecutive month of annualized month-over-month HPA over 8%. 📈

🌐 Market Insights and Momentum
Higher frequency data points from Redfin affirm this positive momentum, revealing a 2% rise in median home sales prices nationally in December. The market's resilience is attributed in part to a persistent supply imbalance for single-family housing, even as for-sale inventory has slightly increased in recent months.

🔮 Looking Forward
As housing supply gradually rebuilds post-2025, anticipate HPA to eventually moderate. However, housing affordability is likely to remain a challenge through the medium term. 🔄

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🏡✨ Also, Positive News from Apollo Global Management, Inc. ✨🏡
A housing recovery has started, driven by low supply and pent-up demand boosted by falling mortgage rates

🚀 Housing Recovery Highlights:
📉 Low Housing Supply
💪 Pent-up Demand Fueled by Falling Mortgage Rates
📈 Decent Job Growth
💼 Robust Wage Growth
💰 Still Some Excess Savings Left

🙌 Here's to a year of growth, stability, and prosperity for 2024! 🏡💫

#Hawkhill #HousingMarket #NewYearProspects #SFR2024 🌟