Stock market performance has an outsized impact on high-end-home buyers. However, in the first quarter of 2025, the market saw not only a new record high, but also a sizable retreat from it as markets grappled with on-again-off-again tariffs and uncertainty over the impact of the Trump administration’s policy decisions.
Deregulation, a nimbler federal workforce and getting promised tax cuts across the finish line could be net positives for both economic growth and financial markets. However, policy uncertainty could be a boon for high-end real estate as investors seek the reliability of a tangible asset rather than the volatility of stocks.
Real Estate value comprised just 18.7% of total assets among the 10% wealthiest households, down from 19.9% just two years prior.
The average 30-year fixed-rate mortgage continues to trend down, remaining under 7% for the twelfth consecutive week. As purchase applications continue to climb, the spring homebuying season is shaping up to look more favorable than last year.
