Real estate economist Matthew Gardner joins Anne Hartnett to unpack the biggest housing trends from Q2 2025, including the potential impact of a new Fed chair and the future of Fannie Mae and Freddie Mac.

The inventory of new homes for sale surged year over year, according to the U.S. Census Bureau and the U.S. Department of Housing and Urban Development.    

At the same time, the pace of existing-home sales declined from May’s level. 

Nationally, home sales rose 5.7% year over year and 1.3% month over month, RE/MAX said. 

New single-family home construction declined as builders continue to grapple with macroeconomic headwinds. 

Purchase applications slowed to their lowest level since May as economic worries dampened activity, the Mortgage Bankers Association said. 

Greater Seattle’s priciest home sales last month were waterfront properties on Lake Washington and Union Bay.

“The continued anticipation of inflation and concerns about increasing government debt suggests that mortgage interest rates are not likely to go down any time soon,” Stephen Bourassa said in a press release.

Staging a home in Seattle before listing could lead to a $44,000 return on investment, according to a new study from home decor company Level Frames.

Three of the 10 most expensive new listings in Seattle are located at undisclosed addresses.

May’s 1.8% monthly gain follows a 6.3% drop in April, the National Association of REALTORS® said. 

The pace of home-price appreciation slowed to its most modest pace since 2023, according to the S&P CoreLogic Case-Shiller U.S. National Home Price Index. 

The median-sales price for an existing home rose 1.3% year over year to $422,800. 

Nationally, home sales slid 3.5% year over year but rose 8.6% month over month, RE/MAX said. 

Buyers were willing to pay $1,597 more for a home with an olive-green kitchen, and navy-blue bedrooms boosted a home’s value by $1,815.

Homebuilder sentiment recently reached its third-lowest level since 2012.