August 2025 Housing Market Update: Rates Fall, Price Corrections Spread

In the August 2025 housing market update, Dave Meyer reports that mortgage rates have dropped to their lowest level of the year due to recent weak labor market data and recession fears, even as the Federal Reserve holds steady. He advises potential buyers to act fast on advantageous dips in rates but cautions against relying on future rate decreases for deal viability. Meyer notes a shift towards a buyer's market with slowing appreciation and rising inventory, yet he points out that demand is also up year-over-year, preventing a market crash. He analyzes new listing data, revealing that sellers are pulling back in declining markets, and examines delinquency and foreclosure rates, which remain stable, suggesting a market correction rather than a crash. Meyer concludes that while risks exist, opportunities are emerging for investors to find valuable assets at reduced prices.