Real Estate
‘Difference Is Trump’: American Homebuyers Brace for Rate Pain
- Economists have been raising mortgage-rate forecasts
- Potential for tariffs, tax cuts spur risk of higher inflation
Pedestrians stop to look at flyers listing homes for sale at a realty office in Berkeley, California.
Photographer: David Paul Morris/BloombergThis article is for subscribers only.
Before Donald Trump’s election, Redfin Corp. projected mortgage rates would average 6.1% next year. But three days after the election, they revised their estimate upward to 6.8% – basically unchanged from today’s high levels.
“The difference is Trump,” said Daryl Fairweather, chief economist at Redfin. “The market seems to be pricing in that he’ll move forward with at least some of the tariffs, but it’s really hard to know what Trump is going to do.”