Freddie Mac – US Housing Outlook, Mar 2024

The U.S. economy saw solid growth of 3.2% in Q4 2023, slightly lower than the previous quarter but still above long-term estimates. Consumption spending was a key driver of growth, while government spending and private investment slowed. Residential investment also decreased but remained positive. The latest forecasts for Q1 2024 GDP growth predict continued expansion, albeit at a slower pace. The labor market showed resilience with an increase in nonfarm payroll employment, although there were downward revisions for previous months. The unemployment rate rose slightly to 3.9% in February, but has remained below 4% for over two years. Job openings remained steady, with more job openings than unemployed individuals, indicating a strong labor market. The overall outlook is for continued economic growth, albeit at a moderating pace.