Home Buyer Optimism Grows in June

WASHINGTON — Consumer sentiment about the housing market dropped in June on job loss concerns and continued uncertainty about mortgage rates, Fannie Mae researchers said in the June 2025 National Housing Survey.

At the same time, the net share of consumers who said it was a good time to buy increased by 5 percentage points over May, the Home Purchase Sentiment Index (HPSI) found.

For the study, Fannie Mae looks at six components: Buying conditions; selling conditions; home price outlook (next 12 months); mortgage rate outlook (next 12 months); job loss concern (next 12 months); and change in household income (past 12 months).

“Respondents to the HPSI survey had mixed expectations about where rates will go, with 39% saying they will stay the same, 34% saying they will go up and 25% saying they will go down. The net result of these responses is a more pessimistic view than last month or at this time last year,” Joel Berner, a Realtor.com senior economist, said.

He added: “The share of respondents who indicate that now is a good time to buy has been steadily increasing in recent months, reaching 28% in June, the highest level in over two years. This shows that buyers are responding to changing market conditions, namely that for-sale inventory is significantly improved, home prices are flat and price reductions are widespread. For those with equity in their current home who are looking to downsize or those with cash on hand (in other words, those least affected by mortgage rates), now is a prime opportunity to get a great deal on a home.”

According to Fannie Mae’s National Housing Survey:

• The net share of consumers who say it is a good time to sell decreased 2 percentage points month over month to 21%. A majority of consumers (60%) say it’s a good time to sell, while 39% say it’s a bad time to sell.
• The net share of consumers who say home prices will go up (23%) decreased 1 percentage point since last month. The share of consumers who expect home prices to go up remained at 45%, while the share who expect prices to go down increased 1 percentage point to 22%.
• The net share of consumers who say mortgage rates will go down in the next 12 months decreased 7 percentage points to -9% in June.
• The net share of employed consumers who say they are not concerned about losing their job decreased 13 percentage points to 41%, the second-lowest level in survey history (March 2025 was the lowest).
• The share of consumers who say getting a mortgage would be difficult decreased 3 percentage points this month (52%), while the share who say getting a mortgage would be easy increased 2 percentage points to 46%.

About the survey: The National Housing Survey polled a nationally representative sample of 1,313 household financial decision makers (margin of error ± 3.73 percentage points) aged 18 and older between June 1st and June 17th, 2025. Most of the data collection occurred during the first two weeks of this period.

Source: Fannie Mae

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