MetLife – U.S. Housing Chartbook, Jan 2025

The report by MetLife "U.S. Housing Chartbook, Jan 2025" analyzes current trends and factors affecting the U.S. housing market. The report highlights a robust U.S. consumer supported by a healthy labor market, with inflation gradually returning to target levels. National home prices continue to rise despite 30-year mortgage rates being significantly higher than four years ago, with 75% of mortgages locked in below 5%. Favorable demographic trends, including strong household formation and growth in prime home buying age groups, support the housing market. However, elevated construction costs and interest rates have slowed the building of single-family homes and apartments. While new construction has slowed, high levels of SFR and multifamily deliveries pose short-term challenges to these segments. Overall, a strong consumer base and positive demographics underpin the housing market, despite risks from prolonged high interest rates.