From Wall Street to Hollywood Hills

(from Realtor.com)

The Trump administration is weighing whether to declare a national housing emergency this fall.

“We may declare a national housing emergency in the fall. We’re trying to figure out what we can do, and we don’t want to step into the business of states, counties, and municipal governments.” – Treasury Secretary, Scott Bessent, told the Washington Examiner

Details are scarce, but officials are reportedly studying ways to cut closing costs and “nationally standardize the local patchwork of building and zoning codes.”

The urgency is real. home affordability is near a 40-year low, and nearly half of renters are cost-burdened, spending more than 30% of their income on rent. Housing experts remain skeptical of what emergency powers can accomplish.

“It remains unclear exactly what kind of emergency measures the administration could take to address housing, or even if using emergency powers in this way is lawful.” – Realtor.com economist Joel Berner.

He suggested streamlining permitting and loosening building restrictions could have the biggest long-term impact, especially in heavily regulated markets.

Congress is also moving on the issue, with the bipartisan ROAD to Housing Act advancing through committee. Meanwhile, mortgage rates have hovered above 6.5% throughout Trump’s term, far from his campaign promise of 3%, though the Fed is expected to deliver a small rate cut this month.

For now, the administration is calling housing an “all hands on deck” challenge. Whether an emergency declaration leads to bold policy or just bold headlines is something Americans, especially renters, are waiting to see.

Read more here

Agents Say the Market Is Tilting

(from FastCompany.com)

A new survey of 238 real estate agents by ResiClub and Zoodealio shows the balance of power is shifting in housing.

Buyer urgency has cooled, while seller urgency is ticking up, especially in the Southeast, Southwest, and West, leading many agents to describe their markets as more balanced. In fact, 96% of agents in the Southwest said buyers have gained leverage over the past year.

Looking ahead, agents expect the most growth from downsizers and move-up buyers, with demographics and affordability both playing big roles.

On pricing, Midwest and Northeast agents are relatively upbeat, while those in the South and West are bracing for modest declines. Mortgage rates are expected to ease slightly, with nearly half of agents predicting the 30-year fixed will end 2025 between 6% and 6.5%, though very few see a return to pandemic-era lows.

The survey also highlights NAR’s reputation problem: 62% of agents described their view of the trade group as unfavorable, compared with only a small minority who see it positively. And despite all the noise around the 2024 NAR settlement, commissions look fairly stable, most agents still report earning between 2% and 3%, though buy-side deals are showing more experimentation with flat fees and client-negotiated models.

Taken together, the findings point to a market in transition: buyers regaining leverage, sellers getting serious, and agents navigating a world where the old rules (and old commissions) aren’t gone… just bent.

Read more here