The housing market just experienced its weakest March since the global financial crisis, dragged down by elevated borrowing costs and declining consumer confidence in the broader economy.
Baby boomers owned about 51% of all household wealth at the end of 2024, while millennials accounted for roughly 10%, and Gen Xers held just over a quarter
4/28/2025
Sales of previously owned homes fell to an annualized pace of 4 million units last month — the lowest March level since 2009 — marking a 5.9% drop from February, according to data released Thursday by the National Association of Realtors (NAR). The decline dealt a blow to hopes for a spring rebound.
The slowdown is particularly striking given that March usually sees a seasonal uptick in homebuying activity. But this year’s spring season has been clouded by ongoing financial market volatility and growing concern over the economic outlook, driven in part by President Donald Trump’s aggressive tariff policies affecting all major U.S. trade partners.
“I had anticipated more transactions with greater inventory, but the data clearly show that higher mortgage rates and affordability concerns are keeping buyers on the sidelines,” said NAR Chief Economist Lawrence Yun.
The housing market has been sluggish in recent years due to a combination of soaring home prices during the pandemic and sharply higher mortgage rates.
Mortgage rates jumped to 7.8% in 2023, up from a pandemic low of 2.7% in 2020. That increase created a double bind: home purchases became far more expensive for buyers, and sellers were reluctant to give up their ultra-low existing rates, shrinking available inventory.
Economists had expected 2025 to bring some recovery as more homes came on the market, but sales have yet to rebound.
“It appears the mortgage rate is still the key driver for the housing market,” Yun said. “Recent stock market turbulence may also have rattled potential buyers and caused them to pause.”
Mortgage rates tend to follow the 10-year Treasury yield, which has climbed recently amid market volatility linked to Trump’s trade war. As of Thursday, the 10-year yield was at 4.3%, while the average rate on a 30-year fixed mortgage stood at 6.8%, according to Freddie Mac.
“Given typical spreads, mortgage rates today should be closer to 6.3% or even 6%,” Yun said. “Instead, we’re still hovering near 7%.”
Elon Musk has said: The Trump tariffs will cause a recession in the second half of this year
6/5/2025 8:32 PMTrump has said: I don’t mind Elon turning against me, but he should have done so months ago
6/5/2025 8:27 PMElon Musk has endorsed a post saying Trump should be impeached
6/5/2025 8:26 PMElon Musk has said: In light of the President’s statement about cancellation of my government contracts, SpaceX will begin decommissioning its Dragon spacecraft immediately
6/5/2025 8:22 PM
Stay Updated
Subscribe to our newsletter for the latest financial insights and news.
Unusual Whales does not confirm the information's truthfulness or accuracy of the associated references, data, and cannot verify any of the information. Any content on this site or related pages are not intended to provide legal, tax, investment or insurance advice. Unusual Whales Inc. is not registered as a securities broker-dealer or an investment adviser with the U.S. Securities and Exchange Commission, the Financial Industry Regulatory Authority (“FINRA”) or any state securities regulatory authority. Nothing on Unusual Whales should be construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any security by Unusual Whales or any third party. Options, investing, trading is risky, and losses are more expected than profits. Please do own research before investing. Please only subscribe after reading our full terms and understanding options and the market, and the inherent risks of trading. It is highly recommended not to trade on this, or any, information from Unusual Whales. Markets are risky, and you will likely lose some or all of your capital. Please check our terms for full details.
Any content on this site or related pages are not intended to provide legal, tax, investment or insurance advice. Unusual Whales Inc. is not registered as a securities broker-dealer or an investment adviser with the U.S. Securities and Exchange Commission, the Financial Industry Regulatory Authority (“FINRA”) or any state securities regulatory authority. Nothing on Unusual Whales should be construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any security by Unusual Whales or any third party. Certain investment planning tools available on Unusual Whales may provide general investment education based on your input. You are solely responsible for determining whether any investment, investment strategy, security or related transaction is appropriate for you based on your personal investment objectives, financial circumstances and risk tolerance. You should consult your legal or tax professional regarding your specific situation. See terms for more information.