GSE also predicts lower rates, higher originations for ’25 and ’26, with next year to eclipse this one
Tagged: GDP
That figure is up from the previous estimate of 2.8%, according to the Bureau of Economic Analysis.
The ESR Group forecasts overall economic growth to slow and mortgage rates to end the year near 7%.
The slowdown comes at the same time that the Federal Reserve's efforts to combat inflation have stalled.
Economic growth surpasses forecasts, consumer spending remains strong, and housing market outlook brightens.
Elevated mortgage rates and home prices will continue to limit housing activity.
According to Fannie Mae's ESR Group, housing and mortgage markets are not expected to recover until 2024.
The Bureau of Economic Analysis' original estimate was 2.6%.
Rapid rising rates are contributing to negative GDP growth.
Residential spending and business spending remain strong