Mortgage Rates and the price of Mortgaged-Backed Securities (MBS) improved this week after Trump’s social media post stating that he is instructing Fannie and Freddie to purchase $200B in mortgage Bonds to help push rates lower. Rates are at their lowest point in the past 3 years. Rates are down 1% from this time last year.
Jobs – the Bureau of Labor Statistics (BLS) released their December Jobs report showing 50,000 jobs created. Job gains came from the Health Care sector (39,000) and the Leisure and Hospitality Sector (47,000). The other sectors experience loss. The headline unemployment figure declined from 4.5% to 4.5% and the all-in U-6 unemployment figure fell from 8.7% to 8.4%
Rents – Apartment List released their December rent report which showed rents fell 0.8% , the 5th consecutive month of declines. Year over year rents are down 1.3% with vacancy at 7.3%
Home Values – the Cotality Home Price Index showed the values increased 1% from November 2024 – November 2025. They are predicting home values to increase 4.3% over the next 12 months and their predictions are typically conservative.
Manufacturing – ISM released their Manufacturing Index for December. It came in at 47.9, the lowest reading of 2025. Any number under 50 indicates contraction.
Mortgage Applications to purchase homes are up 10% year over year while refinances are up 108% from last year.