Redfin: Tariff Fears Drive Up Mortgage Rates, Throwing 2025 Off-Track

Could Trump’s proposed tariffs be the reason for the recent rise in mortgage rates? Could this slow the housing market and cause affordability to get worse? What happens if rates stay higher for longer and more homebuyers get kicked out of the market? We’re talking to Redfin’s Chen Zhao about how tariffs will affect you and the surprising findings from a new homeowner survey foreshadowing something none of us wanted to see about housing inventory. Tariffs could change many things: they could increase construction costs for houses, lead to higher inflation and higher mortgage rates, or put jobs back into American communities. Does the market believe the Trump administration will go forward with their flat tariff for most countries? Or will they pick and choose specific exporters within specific countries to tack a tariff onto? Plus, why are sixty percent of homeowners planning NOT to sell their homes in the near future or…ever? If higher mortgage rates remain, will all those homeowners with low mortgage rates stay put without downsizing or moving, locking up housing inventory tighter than it currently is? It’s possible, potentially leading to long-term declines in real estate prices. But don’t worry, Chen breaks down the entire timeline. In This Episode We Cover Trump’s tariffs and the effect they’re having on mortgage rates  Redfin’s shocking new homeowner survey that points to more locked-up inventory Is a real estate price correction coming? Why prices could slump after rising Whether or not the market thinks Trump will go forward with vast tariff proposals Why interest rates could stay higher for longer than many of us expected And So Much More! Links from the Show Join the Future of Real Estate Investing with Fundrise Join BiggerPockets for FREE Find Investor-Friendly Lenders Dave's BiggerPockets Profile BiggerPockets Daily Podcast 1263 - Investors: Stop Worrying About Interest Rates—Here’s Why Right Now Is the Time to Buy Redfin: More Than One-Third of Homeowners Say They’ll Never Sell Grab Dave’s Book, “Real Estate by the Numbers” Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/on-the-market-290  Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email [email protected]. Learn more about your ad choices. Visit megaphone.fm/adchoices