Home prices continue to climb, although only slightly. In Q1 2025, single-family home prices rose by 1.4%, according to National Mortgage Professional, citing data from Fannie Mae. Compared with the same time last year, prices increased by 5.2%, which is nearly the same as the 5.3% year-over-year growth seen during the previous quarter. At the same time, the average 30-year fixed mortgage rate rose to 6.83% as of April 17, up from 6.62% the week prior.
Even with those increases, Freddie Mac Chief Economist Sam Khater noted that rates are still averaging lower than they did at this same time last year, and demand is up in 2025.
“The 30-year fixed-rate mortgage ticked up but remains below the 7% threshold for the 13th consecutive week,” Khater stated in a release. “At this time last year, rates reached 7.1% while purchase application demand was 13% lower than it is today, a clear sign that this year’s spring home-buying season is off to a stronger start.”Read more
