2027 Housing Market Warning: 'The Wait Keeps Getting Longer,' Report Says

Mortgage rates are up year-over-year and are forecast to stay up well into 2027, according to a recent report from TheStreet.

The average 30-year rate spiked to 7.4 percent in mid-October compared to 6.27 percent a year earlier, the outlet reported, citing Freddie Mac. Fannie Mae forecast the average at 7.5 percent for 2027, while Goldman Sachs projected rates at 6.4 percent by late 2027, according to TheStreet.

Existing-home sales were down slightly year-over-year in September, and prices are barely moving, with the median existing-home price up just 1.3 percent year-over-year at $417,500, according to the outlet.

“That fits Goldman’s view that the big equity gains are mostly behind us,” TheStreet reported.

While older millennials have equity, the median first-time buyer is 40, the outlet noted.

“For millennials who are on the wrong side of that line, the wait keeps getting longer,” according to TheStreet.

Lock-in is expected to fade gradually after 2027, per Goldman, the outlet reported.

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