August 4, 2025
Trigger Leads Ban, Fed Shake-Up, and Housing Reform Signal Big Shifts for the Industry
New legislation and leadership changes are making waves across the mortgage and real estate landscape. The Senate unanimously passed the Homebuyers Privacy Protection Act, targeting controversial “trigger leads” and setting a new standard for consumer data use. At the same time, President Trump prepares to appoint a new Fed governor and BLS chief—moves that could reshape monetary policy. And in a rare show of unity, the Senate is advancing a bipartisan affordable housing bill aimed at easing supply constraints. These developments mark significant shifts for industry professionals and consumers alike.
Senate Passes Trigger Leads Legislation by Unanimous Consent
Read the Full Story → Scotsmanguide
In a major win for the mortgage industry, the Senate has unanimously passed the Homebuyers Privacy Protection Act. This bipartisan legislation seeks to eliminate “trigger leads,” which occur when credit agencies sell consumer data after a mortgage credit pull—resulting in a barrage of unsolicited calls.
The bill mirrors the version passed by the House earlier this year, and now moves into reconciliation to resolve minor differences. Industry groups, including the Mortgage Bankers Association, have long advocated for this change, citing consumer confusion and frustration.
The law, once finalized, is expected to go into effect approximately six months after enactment. It represents a pivotal shift toward greater consumer privacy and more trusted client experiences in the mortgage process.
Trump to Name New Fed Governor and Labor Stats Chief
Read the Full Story → Scotsmanguide
President Trump has announced plans to appoint a new Federal Reserve governor and a new head of the Bureau of Labor Statistics in the coming days. These moves follow the resignation of Fed Governor Adriana Kugler and the dismissal of BLS Commissioner Erika McEntarfer after a disappointing jobs report.
With Kugler stepping down by August 8 and the BLS position now vacant, Trump has the opportunity to quickly influence the Fed’s direction and the federal government’s economic data strategy. Observers expect him to select candidates favoring looser monetary policy and more aggressive rate cuts.
Potential nominees include well-known economic voices such as Scott Bessent, Kevin Hassett, and Kevin Warsh. Their appointment could significantly impact mortgage rates and market confidence moving forward.
What to Know About the Senate’s Affordable Housing Bill
Read the Full Story → CNBC
The bipartisan ROAD to Housing Act of 2025 is gaining momentum in the Senate. Designed to address the nation’s worsening housing affordability crisis, the bill focuses on expanding housing supply and reducing regulatory barriers.
Key elements include zoning reform, incentives for modular and manufactured housing, and streamlined environmental reviews for new construction. Lawmakers hope these provisions will spur new developments and ease inventory shortages that have plagued buyers nationwide.
Backed by both major parties and supported by industry organizations, the bill is expected to pass before the August recess. If signed into law, it could unlock long-term improvements in housing accessibility and pricing.
Loan Officer Perspective
The trigger leads legislation is a major win—giving consumers peace of mind and reducing the noise around credit pulls. Prepare now by updating your compliance plans and client communication strategies. The expected Fed leadership shift could also bring a more favorable interest rate environment—keep clients informed and ready to act. And if the housing bill passes, more inventory could mean more loan opportunities. Stay nimble and educate your buyers early.
Real Estate Agent Perspective
With the trigger leads ban nearing implementation, you’ll have an easier time building trust with clients who’ve been frustrated by unsolicited calls. The housing bill could improve inventory issues over time—position yourself as a local expert in navigating new opportunities. Keep a close eye on rate movements from the Fed as leadership changes unfold; they’ll influence buyer urgency and affordability in the months ahead.
Home Buyer & Seller Perspective
These changes mean more privacy, potentially lower interest rates, and more housing choices on the horizon. If you’ve been overwhelmed by calls after a credit check, relief is on the way. A more affordable market and increased supply could make now a smart time to plan your next move. Reach out to the mortgage or real estate pro who shared this blog with you—they’re here to help you navigate what’s next.
Frank’s Thoughts
The trigger lead story is a clear standout this week. It’s not just a policy win—it’s a step forward for client respect and industry professionalism. While it won’t take effect for another six months, it’s worth celebrating now and preparing for in the months ahead.
We’ll need to watch closely how this impacts the cost of credit reports and lead generation tools. But overall, this is a shift in the right direction, especially for loan officers and agents who prioritize client trust and transparent communication.
Combined with the housing bill and new Fed leadership on the horizon, the market is shifting in a way that rewards preparedness. Stay informed, stay proactive, and use these changes to your advantage in conversations with clients and partners alike.
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August 1, 2025
Fed Debate, FHFA Direction, and Student Loan Shifts: What Housing Pros Need to Know Now
The first week of August brought a flurry of economic news directly impacting mortgage and housing professionals. A rare public dissent inside the Federal Reserve signals deeper divides on interest rate policy, a new FHFA director outlines bold affordability plans, and changes to student loan repayment rules could influence buyer budgets this fall. Whether you’re structuring deals, preparing clients, or navigating future rate expectations, these developments offer key clues into what’s next—and where your expertise will make the biggest difference.
Fed Faces Internal Tensions Over Rate Strategy
Read the full story → The New York Times
A rare internal disagreement has emerged within the Federal Reserve, as two regional presidents voiced public concerns over the Fed’s current path on interest rates. The dissent revolves around whether to maintain current levels or begin cutting sooner amid signs of economic softening and the political backdrop of the 2024 election outcome.
The central issue centers on inflation, which remains near the Fed’s 2% target, and fears of overcorrection. With unemployment ticking slightly upward and credit conditions tightening, some policymakers now believe a gradual easing may better support sustainable growth. Others, including Chair Jerome Powell, remain cautious of premature action.
For the mortgage industry, this signals volatility ahead. Rate watchers should prepare clients for mixed signals in the bond market—and use this uncertainty as a moment to emphasize strategy over timing. If the Fed begins a cut cycle before year-end, refinance windows could re-emerge alongside a potential uptick in purchase demand.
Student Loan Relief Phases Out—Impact on Borrower Budgets
Read the full story → CNBC
The federal government’s COVID-era pause on student loan interest is officially coming to an end. Starting September 1, millions of borrowers will once again begin accruing interest—even if they remain in forbearance or are enrolled in SAVE or other income-driven repayment programs.
This shift may cause a tangible monthly budget hit for first-time homebuyers and younger households. While payment reductions remain in effect for many borrowers, the return of interest accumulation means total debt loads will grow again, affecting both DTI ratios and overall mortgage qualification ceilings.
Loan officers and Realtors alike should proactively identify prospects who may be impacted—particularly those with delayed buying timelines. Guiding clients toward budgeting tools, refinance options on private debt, or co-borrower strategies will become increasingly important as affordability gets squeezed from multiple sides.
New FHFA Director Shares Housing Affordability Vision
Read the full story → Scotsman Guide
In an exclusive interview, newly appointed FHFA Director Bill Pulte outlined a forward-looking housing agenda focused on affordability, credit access, and market innovation. Pulte emphasized the need for “radical collaboration” across agencies, lenders, and developers to make meaningful progress on the housing shortage.
Pulte highlighted three core priorities: expanding support for first-time buyers, modernizing underwriting through tech, and enabling GSEs to pilot creative solutions like shared equity models. He also hinted at coming changes to loan-level pricing and credit scoring models to better reflect today’s borrower profiles.
This leadership shift at FHFA could reshape GSE policy—and by extension, market opportunity. LOs and agents should follow these developments closely, as regulatory changes could directly affect borrower eligibility, pricing, and product offerings in the coming quarters.
Loan Officer’s Perspective
- Watch for rate movement potential: Market pressure is building for the Fed to act—have a lock/float framework in place.
- Reconnect with clients carrying student loan debt: Adjust preapprovals and refresh DTI analysis ahead of fall.
- Track FHFA signals: Early knowledge of new GSE pilots or affordability tools will give you a competitive edge.
Realtor’s Perspective
- Guide first-time buyers through budgeting shifts: Student loan interest resumption will catch some by surprise.
- Educate sellers and buyers alike: Lower rates could revive fall traffic—position accordingly.
- Build lender-partner conversations around affordability innovation: Be ready to explain shared equity or pricing shifts as they emerge.
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July 31, 2025
Rate Forecasts, Crypto Lending, and Fed Uncertainty
The mortgage rate outlook continues to shift as markets digest mixed economic signals, Fed commentary, and emerging legislation. In late July, mortgage rates are holding steady in the mid-6% range while experts debate what’s next for housing affordability. Meanwhile, new Senate legislation could reshape underwriting by including digital assets like crypto, and Fannie Mae’s updated forecasts signal a slow but steady rate decline into 2026. Here’s what’s moving the market—and how mortgage professionals and Realtors can stay ahead.
Markets Expected More Dovishness From Powell
Read the full story → Mortgage News Daily
Economic reports released earlier in the day suggested the Fed might adopt a more dovish stance—especially after core inflation metrics were revised downward. However, by the close of trading, the bond market remained relatively flat, with mortgage-backed securities (MBS) showing only modest weakness.
While GDP headlines looked strong, underlying demand data told a more muted story. The market had already priced in some softness, so the day ended with very little movement in rates. Current 30-year fixed rates are hovering around 6.75%, keeping borrowers in a cautious holding pattern.
Although the Fed didn’t surprise markets, Chair Powell’s remarks reinforced a slow, patient approach toward policy change—signaling no immediate relief, but no tightening either. The bond market is now closely watching upcoming inflation releases for the next directional cue.
Loan Officer Insight:
- Use the calm to initiate lock discussions—timing matters in a sideways rate market.
- Prep borrowers for future movement; transparency builds confidence.
Realtor Insight:
- Highlight rate stability with urgency: this window could shift quickly.
- Collaborate with lenders to frame scenarios in real-time for active buyers.
Fannie Mae Predicts Major Mortgage Rate Changes Ahead
Read the full story → TheStreet
Fannie Mae is now projecting the average 30-year fixed mortgage rate to fall to 6.4% by the end of 2025—and even lower into 2026, possibly reaching the 6.0% mark. These changes come alongside a downward revision to their home price forecast, which now sits at 2.8% for 2025 and just 1.1% in 2026.
This suggests that affordability could improve gradually over the next 18 months, especially for move-up buyers and long-term planners. While demand remains suppressed in the short term, sales activity is expected to tick up modestly as buyers reenter the market in anticipation of lower rates.
The report reinforces a key message for both lenders and Realtors: while there’s no rush, preparation is everything. When rates do fall, activity could rebound quickly—especially if inventory remains tight.
Loan Officer Insight:
- Use long-range forecasts in pipeline conversations—encourage clients to plan, not pause.
- Create refi watchlists based on this projected curve.
Realtor Insight:
- Message future affordability to your list—position clients to act sooner rather than wait for perfection.
- Stay engaged with sellers who might benefit from listing before competition increases.
Senate Bill Aims to Revolutionize Lending with Crypto Assets
Read the full story → Scotsman Guide
A new Senate proposal—the 21st Century Mortgage Act—could fundamentally shift how digital assets are treated in mortgage underwriting. If passed, it would require agencies like Fannie Mae and Freddie Mac to factor in unconverted crypto holdings when assessing borrower eligibility.
This would mark a major policy shift, especially for younger borrowers with significant digital investments but less traditional liquidity. Currently, crypto must be converted into fiat currency to count toward asset qualification—often triggering tax consequences or delays.
Though opposition is already forming, the proposal reflects growing political and institutional interest in modernizing lending rules. If adopted, this could reshape asset qualification standards and open the door for more innovative products in the coming years.
Loan Officer Insight:
- Start tracking crypto-holding clients—educate them on evolving guidelines.
- Prepare FAQs and educational tools as awareness builds.
Realtor Insight:
- Use this as a conversation starter with digital-native prospects.
- Partner with lenders to build marketing campaigns around non-traditional asset buyers.
Loan Officer’s Perspective
- Prep clients with clarity around sideways rates and future drops—use Fannie Mae data to guide strategy.
- Create contact lists of crypto-holding clients or prospects for proactive education.
- Use this quiet market to lock pipeline clients and refine your follow-up automation.
Realtor’s Perspective
- Position buyers now while rates are stable—especially those eyeing affordability in the future.
- Use new crypto lending headlines to re-engage digitally savvy leads.
- Encourage sellers to consider listing before buyer competition increases in 2026.
Frank’s Thoughts…
I think the most interesting thing today is the crypto story. If we can count crypto as an asset, that could have an impact on automated underwriting decisions. It might get us an approval where we normally wouldn’t have.
This could be a good question to drop in your social feeds to stir up a conversation. You never know where a conversation around crypto might lead.
Have a great day and I hope to see you on LOBC tomorrow!
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July 30, 2025
Fed Holds, GDP Surges, and Housing Reform Advances: What It Means Now
With the housing affordability crisis dominating headlines, real estate professionals are watching a critical convergence of economic and legislative events. The Federal Reserve held interest rates steady during its July meeting, citing mixed inflation and employment data. Meanwhile, the U.S. economy surprised with stronger-than-expected Q2 growth, signaling continued resilience. At the same time, Congress took a major step toward tackling housing supply challenges with bipartisan momentum behind the ROAD to Housing Act. Together, these developments offer both clarity and urgency for mortgage originators and Realtors navigating client conversations and pipeline strategy in today’s market.
Fed Divided, But No Rate Cut Yet
Read the full story → TheStreet
Despite speculation and internal pressure, the Federal Reserve held its benchmark interest rate steady at the July FOMC meeting. Chair Jerome Powell emphasized that inflation remains above the Fed’s 2% target, warranting caution, even as some governors—like Christopher Waller and Michelle Bowman—pushed for a rate cut based on cooling labor market signals.
Markets had priced in only a 2% chance of a July cut, according to CME FedWatch, but the dovish tone from dissenting voices inside the Fed could shape the path forward. Analysts expect September to be the earliest realistic window for policy easing, if inflation moderates.
Loan Officer Insight: Prepare messaging that reframes “no cut” as market stability. Clients still have time to lock in near-peak affordability with fixed products and smart planning tools.
Realtor Insight: This pause gives you space to educate buyers on rate trends and promote longer-term affordability—especially for those worried about jumping in too late.
Q2 GDP Beats Expectations at 3%
Read the full story → CNBC
The U.S. economy expanded at an annualized rate of 3% in Q2 2025, far surpassing forecasts of 2.3%. The report reflects strength in consumer spending and business investment, despite ongoing pressures from tariffs and global uncertainty.
Labor market data shows mixed signals: ADP reported 104,000 private-sector jobs added in July, while economists are watching wage growth and hours worked for signs of further softening. Still, the GDP report reinforces a theme of economic resilience—key for borrower confidence as housing costs remain elevated.
Loan Officer Insight: Leverage this growth data to reassure borrowers and build urgency. An expanding economy supports stability in housing demand and underwriting.
Realtor Insight: Use this “good news” to reinvigorate cautious buyers. Position properties as long-term investments backed by a strong economic backdrop.
ROAD to Housing Act Gains Bipartisan Momentum
Read the full story → Scotsman Guide
In a rare moment of bipartisanship, lawmakers advanced the ROAD to Housing Act through the Senate Banking Committee. The legislation—sponsored by Senators Tim Scott and Elizabeth Warren—seeks to boost affordability by cutting red tape, modernizing zoning, and expanding access to modular and manufactured housing.
Key provisions include faster environmental reviews, incentives for local zoning reforms, and targeted funding to support first-time buyers. With 40 measures passing committee unanimously, the bill now moves to the Senate floor. Stakeholders say the reforms could meaningfully shift the affordability landscape over the next 1–3 years.
Loan Officer Insight: Position yourself as an expert on how future legislation could unlock new products, down payment assistance, or underserved markets.
Realtor Insight: Prepare now for what’s next—develop content around modular housing, rezoned opportunities, and how policy shifts may increase your inventory pool.
Loan Officer’s Perspective
- Stay ahead of the curve on Fed policy—clients need clarity on where rates are headed, not just guesses.
- Use strong GDP numbers to support urgency in buying or refinancing before potential market shifts.
- Monitor housing legislation developments and incorporate affordability reform updates into buyer education materials.
Realtor’s Perspective
- Create drip campaigns tied to economic optimism and affordability wins.
- Highlight modular housing opportunities as zoning changes roll out.
- Work with lenders to co-brand educational content on how today’s market is shaping tomorrow’s opportunities.
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July 29, 2025
New Construction Price Surprises, Fed Messaging Shift, and FHFA Policy Reversal: What It All Means
In 15 States, New Construction Homes Are Now Cheaper Than Resales
Read the full story → Realtor.com
A new analysis reveals a surprising shift in housing economics: in 15 U.S. states, it is now cheaper to buy a new construction home than a resale. Once considered a premium product, newly built homes have become the more affordable option in markets like California, Arizona, and Texas, driven by builder incentives and efficiencies.
In California, new homes are selling for a median price of $700,000—$50,000 less than the median resale. The trend is most pronounced in Sun Belt and Mountain West states, where large-scale builders dominate and have slashed prices, offered aggressive rate buydowns, and streamlined costs to move inventory.
This shift is redefining buyer behavior, especially among first-time and move-up buyers. Loan officers and agents should re-evaluate assumptions about new builds being “too expensive” and focus more on pairing clients with builder-aligned loan options. With inventory tight in the resale market, new construction could be the answer for affordability-seeking buyers.
Loan Officer Insight: Don’t assume resale is cheaper—run real scenarios. Builder partnerships are a strategic edge right now.
Realtor Insight: Rethink your buyer presentations—lead with new construction options, especially in price-sensitive markets.
Fed Chair Powell Signals Rate Cuts Are Possible—But Politics Loom
Read the full story → New York Times
Federal Reserve Chair Jerome Powell indicated that interest rate cuts remain on the table this year, even as political pressure mounts. Former President Donald Trump has openly criticized the Fed, claiming rate cuts are delayed for political reasons. Powell rebuffed these comments but emphasized that future cuts will be data-dependent.
The Fed is watching inflation and labor market metrics closely. If inflation continues to cool—currently hovering near 2.7%—a cut could come as early as September. However, uncertainty surrounding global markets and election-year politics may delay action or introduce volatility.
This development adds another layer of complexity to rate forecasting. Mortgage professionals should stay grounded in client education and flexible strategies. Rather than promising rate direction, advisors can guide clients toward preparedness and clarity amid conflicting headlines.
Loan Officer Insight: Stay neutral, stay strategic. Guide with logic, not predictions.
Realtor Insight: Empower clients with facts, not fear. Keep preapprovals current and flexible.
FHFA Seeks to Repeal Key Fair Lending and Equity Rule
Read the full story → Scotsman Guide
The Federal Housing Finance Agency (FHFA) is proposing to roll back a rule that required Fannie Mae and Freddie Mac to submit Equitable Housing Finance Plans—a major component of the agency’s fair lending framework. Initially adopted in 2022, the rule mandated clear annual plans to improve access for underserved borrowers.
FHFA Director Sandra Thompson argued that the rule is unnecessary because oversight can be handled through informal supervision. Critics contend this weakens fair lending efforts and removes transparency from housing equity initiatives.
This proposed repeal could have ripple effects on affordable lending programs, CRA-aligned partnerships, and broader inclusion efforts. Loan officers working in diverse communities or with specialty programs should monitor this development and be ready to adjust outreach strategies and borrower education efforts accordingly.
Loan Officer Insight: Watch for shifts in CRA or downpayment assistance program support. Stay close to nonprofit partners.
Realtor Insight: If equity efforts slow, hyper-local education will matter more. Reaffirm your value to underserved markets.
Loan Officer’s Perspective
- Partner with builders now—new homes may be your best affordability solution in 15+ states.
- Educate without predicting—use Fed uncertainty as a trust-building moment with clients.
- Track CRA and equity program changes—prepare for a reshuffling of incentives and oversight.
Realtor’s Perspective
- Pitch new construction differently—many buyers don’t realize it may now be the cheaper option.
- Keep rate noise in check—help buyers act on readiness, not hypotheticals.
- Double down on underserved outreach—market shifts may reduce institutional support, increasing your role.
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July 28, 2025
Fannie Mae Taps Barry Habib as Zillow Lowers Forecast—Here’s What It Means
What’s New in Housing This Week
This week’s real estate and mortgage headlines highlight a major leadership shift: Barry Habib, one of the most trusted figures in mortgage forecasting, has joined the Fannie Mae board of directors. Meanwhile, Zillow has downgraded its home price forecast across more than 400 markets, pointing to a broader national slowdown. And political tension between President Trump and Fed Chair Jerome Powell adds uncertainty to the future of interest rates. Here’s what mortgage professionals and Realtors should take away from the latest market movements.
Barry Habib Named to Fannie Mae Board of Directors
Read the full story → Scotsman Guide
Mortgage strategist Barry Habib has been appointed to the Fannie Mae board of directors, effective July 21, 2025, according to an SEC filing. Habib, founder of MBS Highway, is well known for his award-winning market forecasting and for being a long-time advocate for loan originators and industry clarity.
His appointment comes as mortgage liquidity, affordability, and credit access remain central challenges. Habib has been a public critic of Federal Reserve MBS policy and has emphasized the unintended consequences of long-term intervention. His perspective could influence how Fannie Mae navigates future product risk, GSE reform, and the evolving balance between public mission and market stability.
With Habib now inside the policy circle, loan officers and Realtors have a unique opportunity to leverage his insights with added authority. His presence on the board could impact upcoming Fannie Mae guidance, especially around housing finance access, pricing, and innovation.
Loan Officer Insight:
- Reference Habib’s appointment in your messaging to increase client trust and industry credibility.
- Use his board position to explain secondary market factors in simple, client-friendly terms.
Realtor Insight:
- Cite Habib’s insights when discussing market trends or pricing hesitations with buyers and sellers.
- His leadership lends weight to timing conversations and trust-building with hesitant clients.
Zillow Revises Home Price Forecast—26% of Listings Cut Prices
Read the full story → Fast Company
Zillow has adjusted its national forecast downward, now expecting U.S. home prices to decline by 0.7% from May 2025 to May 2026. This marks a significant revision from earlier expectations and reflects a slower market with less upward pressure on prices.
Nearly 26% of listings received price cuts in May—more than in any previous May on record. National year-over-year appreciation has slowed to just 0.4%. While some metros like Knoxville, TN, and Kingston, NY, are forecasted to gain modest value, a majority of markets are entering a flat or softening phase.
The updated forecast presents an opportunity for buyers to re-enter the market with stronger leverage, while sellers must now price competitively to stand out. For agents and lenders alike, it’s a moment to realign expectations and focus on education and adaptability.
Loan Officer Insight:
- Use price softening trends to reengage pre-approved buyers who paused due to affordability concerns.
- Emphasize payment-focused planning tools and explain how price stability supports long-term ownership.
Realtor Insight:
- Prep sellers for a more competitive landscape and longer time on market.
- Use the Zillow report to support strategic pricing and motivate quicker listing decisions.
Trump vs. Powell: Fed Chair Faces Political Fire as Rates Hold Steady
Read the full story → CNN
President Trump is intensifying public attacks on Federal Reserve Chair Jerome Powell, criticizing both interest rate policy and the $2.5 billion renovation of the Fed’s headquarters. While legal precedent protects Powell from removal without cause, the political pressure is ramping up as inflation lingers and markets wait for potential rate cuts.
Powell has stated he intends to complete his term, which ends in May 2026. Despite the political backdrop, Fed officials remain cautious about easing too soon. Inflation and global uncertainty, including tariffs and Treasury sell-offs, continue to influence decision-making.
This unfolding conflict may delay hoped-for rate cuts or shift bond market sentiment, impacting mortgage rates in the second half of the year. Clients may hear noise about political infighting, but professionals must stay focused on fundamentals and clear communication.
Loan Officer Insight:
- Monitor messaging for potential shifts in rate policy sentiment—but avoid speculation.
- Use political headlines to reinforce the value of pre-approval, rate locks, and scenario planning.
Realtor Insight:
- Help clients cut through political noise by focusing on today’s numbers and local opportunities.
- Be ready with clear answers when rate concerns come up during showings or buyer consults.
Loan Officer’s Perspective
- Barry Habib’s board appointment provides new clarity—reference his insights in client updates.
- Zillow’s forecast is a strong conversation starter—help clients pivot strategy, not panic.
- Rate volatility from political conflict underscores the need for lock-and-shop options.
- This is the time to reengage paused buyers with updated pricing and affordability conversations.
Realtor’s Perspective
- Use Zillow’s forecast to help clients understand the shift toward price realism.
- Habib’s influence adds confidence—mention his board role in newsletters or listing consults.
- Anticipate buyer questions about interest rates—align with a trusted LO to offer answers.
- Position yourself as the steady voice in a noisy market.
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July 25, 2025
Fannie Mae Forecast, Trump on Powell, GSE Stock Surge
Fannie Mae Forecasts Lower Mortgage Rates and Cooler Home Price Growth
Read the full story → Scotsman Guide
Fannie Mae revised its housing outlook in July, projecting lower mortgage rates by year-end and a deceleration in home price growth. This marks a significant shift from earlier in the year, reflecting improving inflation data and expectations of a softer rate environment.
Key revisions include a drop in the expected 30-year fixed rate to 6.4% by Q4, and annual home price growth slowing from 6.8% to 4.8%. Purchase mortgage originations were also revised upward to $1.4 trillion for 2025, highlighting optimism about buyer activity.
The updated outlook suggests that affordability conditions may gradually improve, allowing sidelined buyers to re-enter the market. However, tight inventory and elevated home prices remain critical obstacles.
Loan Officer Insight: Be proactive. Lower rate projections mean more purchase power later this year. Start prepping clients now to lock in at the right time, and use the price moderation forecast as an anchor for value conversations.
Realtor Insight: Emphasize the window of opportunity. Sellers may need to adjust expectations, while buyers should stay engaged with preapprovals and regular check-ins.
Trump: Powell Likely to Cut Rates Soon
Read the full story → CNBC
In a recent interview, former President Donald Trump stated his belief that Federal Reserve Chair Jerome Powell is “ready to start lowering rates,” citing slowing inflation and rising pressure from political and economic forces.
While Powell and the Fed have not formally signaled a rate cut, market participants are already pricing in the potential for a move by fall 2025. This speculation is further fueling optimism in mortgage markets and boosting investor sentiment.
If rate cuts materialize, the impact on borrowing costs could be substantial—especially for purchase and refinance activity. But professionals should stay grounded in economic data, not political commentary.
Loan Officer Insight: Keep your clients focused on the facts, not headlines. Rate cut talk creates buzz, but clear strategies around lock windows, refi opportunities, and payment flexibility build real trust.
Realtor Insight: Messaging matters. Even if cuts aren’t imminent, buyer perception of future affordability can reignite interest. Use this to spark conversations with fence-sitters.
GSE Reform Buzz Sends Fannie & Freddie Stocks Higher
Read the full story → Barron’s
Fannie Mae and Freddie Mac shares surged this week amid renewed speculation that the Biden administration may advance reforms to end the companies’ 16-year conservatorship. Though no formal action has been taken, investor optimism grew following remarks from regulators and lawmakers.
PulteGroup’s stock also saw gains as builder sentiment continues to rise in light of lower rate forecasts and policy stability. The overall takeaway? The market sees structural shifts ahead.
Any major movement with GSE reform would have ripple effects across the mortgage landscape—from underwriting policy to secondary market pricing.
Loan Officer Insight: Keep tabs on how GSE policy could evolve. Loan guidelines, LLPAs, and eligibility rules could shift rapidly if reform talks progress. Position yourself as a steady voice amid uncertainty.
Realtor Insight: Use the stock movement and policy buzz as an opening to discuss the broader housing finance system with clients who are more financially savvy. It’s a great way to show deeper industry knowledge.
Loan Officer’s Perspective
- Revisit preapprovals: Lower rates ahead mean buyers’ budgets could expand. Stay ahead of the curve.
- Prep rate watchers: Use current volatility as a reason to start now, not wait.
- Track GSE shifts: Policy reform can reshape lending norms—stay informed, stay competitive.
Realtor’s Perspective
- Educate on price moderation: Fannie’s 4.8% projection can help calm buyer FOMO.
- Leverage rate buzz: Use Trump’s rate cut comments to reignite conversations.
- Discuss macro trends: Builder and GSE stock gains offer context to anchor client strategy.
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July 24, 2025
Fed Skepticism, Housing Headwinds, and a Push for ADU Growth
Investors Are Expecting ‘Way Too Many’ Rate Cuts From the Fed, History Shows
Read the full story → CNBC
Recent analysis from CNBC highlights a growing disconnect between investor expectations and the Federal Reserve’s likely path for rate policy. While markets are pricing in up to four rate cuts over the next year, economists point to historical precedent suggesting a far more cautious Fed trajectory.
Historically, the Fed has only cut rates multiple times in quick succession when faced with significant economic downturns or financial instability. As inflation stabilizes but remains above the 2% target, most analysts expect the Fed to move slowly, possibly cutting rates once or twice at most through mid-2026.
For the housing market, this signals a prolonged period of higher borrowing costs. Market volatility may increase as investors recalibrate expectations. Loan officers should prepare clients for a “higher for longer” environment and emphasize strategic planning over short-term rate speculation.
Loan Officer Insight: Help clients shift focus from Fed forecasts to financing fundamentals. Lock-and-shop strategies, buydowns, and ARMs should stay top-of-mind for affordability.
Realtor Insight: Set realistic expectations with buyers. Rates may not move meaningfully in the short term, so purchasing decisions should be based on need, not rate hopes.
Bipartisan Bill Could Make It Easier to Build ADUs, Tiny Homes
Read the full story → CNBC
A new bipartisan bill introduced in Congress aims to expand housing access by making it easier for homeowners to build accessory dwelling units (ADUs) and tiny homes. The proposed legislation would unlock federal funding and streamline local permitting processes, encouraging municipalities to support small-scale infill development.
ADUs—such as backyard cottages or garage conversions—are viewed as a key tool for increasing density in tight housing markets without large-scale construction. The bill has support from both housing advocates and libertarian-leaning lawmakers who favor deregulation and property rights.
If passed, the bill could provide new opportunities for multigenerational living, rental income, or aging-in-place strategies. For real estate professionals, this means staying ahead of local implementation and helping clients navigate new ADU financing or permitting options.
Loan Officer Insight: Stay updated on ADU lending guidelines. Prepare to offer renovation and construction loan options tied to these accessory builds.
Realtor Insight: Position ADU potential as a value add—especially for investors, multi-gen buyers, or house hackers looking for supplemental income.
Lowest Existing Home Sales in 30 Years Projected by Midyear Housing Forecast
Read the full story → Scotsman Guide
The National Association of Realtors’ (NAR) midyear forecast projects just 3.9 million existing home sales in 2025—the lowest annual total since the early 1990s. The culprits: elevated mortgage rates, affordability challenges, and record-low inventory.
Median prices have risen nearly 7% year-over-year, further sidelining first-time buyers. Even seasoned homeowners are holding tight, unwilling to trade low-rate mortgages for today’s higher costs. While new construction has filled some of the gap, it hasn’t been enough to offset the deep freeze in resale activity.
This signals a challenging second half for volume-based businesses. Success will require proactive pipeline management, niche targeting, and creative solutions to help clients compete despite constrained supply.
Loan Officer Insight: Revisit your preapproved pipeline weekly. Use this data to drive urgency and reinforce financing strategies that boost offer strength.
Realtor Insight: Target move-up buyers and investors with strategic listings and financing ideas. Emphasize preparedness in a low-inventory battlefield.
Loan Officer’s Perspective
- Prep clients for a slower Fed path: Set expectations early and explain lock strategies.
- Promote ADU financing as a smart affordability tool—especially for aging parents or income generation.
- Reengage cold leads with urgency around record-low existing home inventory and rising prices.
- Partner with builders on ADU-friendly and entry-level new construction opportunities.
Realtor’s Perspective
- Educate sellers on how ADUs can boost listing appeal and property value.
- Reframe rate conversations—focus on lifestyle goals, not market timing.
- Host buyer webinars on competing in low-inventory environments.
- Look for listings with ADU potential or multigenerational layouts to differentiate.
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July 23, 2025
Major Shifts in Mortgage Rates and Housing Policy: What’s Next?
Mortgage Rate Whiplash Could Be Coming, Says Analyst
Read the full story → TheStreet
Mortgage rates may soon experience sharp movement—up or down—according to housing market analyst Logan Mohtashami of HousingWire. He highlights increasing volatility in the bond market and hints that 30-year mortgage rates, currently hovering near 7%, could either drop quickly or spike again depending on upcoming economic signals.
Mohtashami attributes this possible shift to market reactions around inflation data, economic uncertainty, and weakening job growth. If labor data continues to soften or inflation comes in under expectations, rates could drop meaningfully. Conversely, any surprises in inflation or Treasury market disruptions could drive rates higher again.
His key message for consumers and professionals: Be prepared for big rate moves, not flatlining trends. For mortgage professionals, this volatility reinforces the importance of proactive borrower education and flexible lock strategies.
Loan Officer Insight: Use this opportunity to reconnect with floating preapprovals. Provide clarity on rate volatility and offer rate cap or float-down options to minimize risk.
Realtor Insight: Partner with lenders offering rapid preapproval updates—today’s prequal may not match next week’s rates.
Trump Pushes for Fed Chair Powell to Resign Ahead of 2026 Term End
Read the full story → CNN
In a move that could introduce more uncertainty into financial markets, former President Donald Trump has called on Federal Reserve Chair Jerome Powell to resign, accusing him of mishandling inflation and rate policy. Powell, whose term ends in May 2026, has not responded publicly to the remarks.
This statement adds fresh political pressure on the Fed, which is already navigating a difficult balancing act: managing inflation that remains slightly above its 2% target while trying not to derail economic growth. Markets reacted with slight unease, as concerns mount about potential leadership instability during a sensitive time for monetary policy.
The implication for mortgage and housing professionals? Continued uncertainty at the Fed may lead to more rate volatility and diminished investor confidence in forward guidance—impacting mortgage pricing and consumer behavior in the months ahead.
Loan Officer Insight: Clients are watching the headlines—be ready to explain what this means for rate trends, not just policy noise.
Realtor Insight: Political headlines can shake buyer confidence. Be the voice of calm by focusing on market fundamentals and local inventory.
HUD Funding Under Fire: Housing Advocates Rally Congress for Restoration
Read the full story → Scotsman Guide
More than 1,500 housing advocacy organizations have joined forces to urge Congress to reverse proposed funding cuts to HUD programs in the FY2025 House bill. The cuts include reductions to the Housing Choice Voucher program, homelessness prevention funding, and assistance for elderly and disabled households.
Advocates warn that these cuts would cause over 600,000 families to lose or be denied housing assistance, worsening already critical affordability and homelessness issues. The move comes at a time when housing demand far outpaces supply and affordability remains a top concern nationwide.
If funding is not restored, it may also place additional pressure on local housing markets, particularly in high-cost regions, where subsidized renters will have even fewer options. Real estate professionals in affected areas may see downstream effects on both inventory and buyer readiness.
Loan Officer Insight: Understand which local programs or buyers may be affected—especially in FHA-heavy areas or affordable housing markets.
Realtor Insight: Advocate for housing equity while preparing clients for shifting qualification pipelines. Connect with community housing partners early.
Loan Officer’s Perspective
- Reach out to clients waiting for better rates—volatility may create quick lock opportunities.
- Prep for questions on Fed credibility and rate leadership. Confidence builds conversions.
- Stay informed on HUD funding status—it may impact affordable lending pipelines.
Realtor’s Perspective
- Reassure buyers watching headlines—help them focus on what’s actually changing locally.
- Collaborate with lenders offering scenario planning for quick shifts in affordability.
- Support housing advocacy efforts that could shape inventory and demand down the line.
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July 22, 2025
Mortgage Rates Hold Steady as Markets Await Fed Action; ADU Financing Bill Gains Steam; Builder Share Consolidates
The market’s in a holding pattern as rate chatter cools, but legislative and builder dynamics offer actionable insights for housing professionals.
Mortgage Rates Flat Amid Rate-Cut Uncertainty
Read the full story → Mortgage News Daily
As of Monday, July 21, average mortgage rates are holding steady, with 30-year fixed loans hovering just under 6.8%. This plateau reflects the market’s “wait-and-see” stance ahead of potential Fed decisions. Recent statements from policymakers and inflation data have been mixed, leading investors to temporarily pause major rate bets.
Loan Officer Insight:
A quiet rate window is a strategic time to educate buyers and discuss pre-approval. Emphasize that even small rate shifts can make a big difference in affordability—and that locking in now avoids volatility.
Realtor Insight:
With rates flat, hesitant buyers may be more responsive to re-engagement. Combine this stability with price or builder incentives to nudge action during the summer lull.
Bipartisan Bill Aims to Make Financing ADUs Easier
Read the full story → Scotsman Guide
New bipartisan legislation introduced in Congress would expand financing options for accessory dwelling units (ADUs), such as granny flats or garage conversions. The proposed policy seeks to make it easier for homeowners to tap conventional financing sources for construction or purchase of ADUs—a move aimed at addressing the national housing shortage.
Loan Officer Insight:
Keep an eye on this emerging niche. ADU financing products—especially renovation loans—could be a strong growth area for lenders once policies align.
Realtor Insight:
This is a great opportunity to educate both buyers and investors on long-term income potential through ADU properties. Stay ready to guide clients on zoning and financing updates.
Builder Market Share Concentrates in Top 10 Firms
Read the full story → Eye on Housing
The top 10 builders accounted for 43.2% of all single-family home closings in 2024—a new high, per NAHB analysis. In several metros, such as Houston and Charlotte, a single builder claims over 20% of the local market. This trend suggests growing consolidation in the new-construction space, with implications for pricing and availability.
Loan Officer Insight:
Stronger builder partnerships will be key. As large firms gain more control, align your pipeline and approvals with their timelines and processes.
Realtor Insight:
In metro areas dominated by large builders, you’ll need to differentiate your service and provide value beyond what the sales office offers. Also, stay attuned to builder incentives your buyers may benefit from.
Loan Officer’s Perspective
- Flat rates present calm before the storm—lock clients before the Fed surprises the market.
- ADU bill opens future niche financing—prep your product line and marketing.
- Builder consolidation needs focus—strengthen partnerships with top players.
For additional resources and strategies to support your referral partners and clients effectively, visit DailySuccessPlan.com.
Realtor’s Perspective
- Now’s the time to re-engage dormant buyers—stable rates help calm nerves.
- Highlight ADU value—both as a resale feature and income play.
- In builder-heavy markets—your local insight and negotiating skill are essential.
📩 Ready-to-Send Emails
Loan Officer Email (to Realtor Partners)
Subject: Rates Hold Steady, New ADU Bill Could Boost Buyer Options
Hi [First Name],
Here’s today’s update:
• Mortgage rates are holding steady—great time to help buyers lock in or get preapproved.
• A new bipartisan bill aims to ease financing for ADUs, which could unlock more backyard builds or rentals.
• Top builders now control over 40% of home closings—worth tracking for your new construction deals.
Let’s touch base if you want to co-market some financing or offer buyers summer-ready preapproval help.
Best,
[Your Name]
[Your Contact Info]
Realtor Email (to Clients / SOI)
Subject: Market News: Rates Steady, ADUs May Get Easier to Finance
Hi [First Name],
This week’s update:
• Mortgage rates are steady—great time to revisit preapprovals.
• A new federal bill could make it easier to finance backyard ADUs like granny flats.
• Big builders are expanding their market share—meaning more inventory and incentives in new communities.
Thinking about buying, investing, or renovating this summer? Let me know—I’d be happy to help you explore options.
Warm regards,
[Your Name]
[Your Contact Info]
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