Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

GSE Forecasts Solid Recovery In 2013

The end of the calendar year brings about the usually slew of predictions and outlooks. Fannie Mae recently revised its housing forecast for 2012 and 2013. Given the recent improvements in the housing market, we are not surprised to see the GSE report that fundamentals are in place for a “solid” housing recovery.

The fundamentals that they are referring to include low interest rates, rising home prices and a recovering labor market.

With all of these factors, GSE’s Economic & Strategic Research Group foresees that single-family housing starts will rise 25 percent this year, and then rise by another 22 percent in 2013.

They predict that existing-home sales should also rise and see a 9 percent increase in 2012 and a 4 percent gain in 2013.

Looking at the combination of new and existing-home sales, the increase may jump as high as 10 percent this year and an additional 6 percent in 2013. Fannie Mae prognosticators mention that the risk in the forecast would be that housing demand may actually result in stronger housing activity than currently anticipated.

Interest Rates Outlook To Remain Around 3.5 Percent

As far as interest rates, the GSE predicts that the 30-year fixed-rate mortgage will remain low and average 3.5 percent in 2013.

Here in the Bay Area, prices do continue to rise and it seems easy to offer a rosy outlook for 2013 but consider that recent price gains only seem to be based on lack of inventory and not much else.

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

Fannie Mae Releases Outlook On Housing

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