Key Takeaways
The most significant developments shaping real estate markets today:
- Housing inventory surges to highest levels since 2019 with active listings climbing 27.7% year-over-year, marking the 83rd consecutive week of annual gains 1
- Mortgage applications jump 12.5% week-over-week with purchase applications running 20% ahead of last year’s pace despite 30-year rates at 6.93% 2
- Andrew Hughes confirmed as HUD Deputy Secretary in 51-43 Senate vote, becoming the youngest Deputy Secretary in HUD history 3 4
- HUD Secretary Scott Turner testified on controversial FY 2026 budget with housing advocates opposing $26.7 billion in proposed cuts to rental assistance programs 5
- Inflation remains tame at 2.4% annually with Wells Fargo economists expecting Fed to hold rates unchanged next week 6
- Commercial real estate sentiment declines with Q2 2025 index dropping 14 points to 54, reflecting policy uncertainty 7
- Century 21 Myers Realty expands through Florida merger, bringing agent count to approximately 160 across seven offices 8
🏠 Residential Real Estate Markets
Overview: Housing markets are shifting toward more balanced conditions with significantly higher inventory levels providing buyers more options, though regional price trends vary considerably across major metropolitan areas.
📈 National Inventory & Supply Trends
• Active inventory up 27.7% year-over-year for week ending June 7 – highest level since December 2019 1
• 83rd consecutive week of annual inventory gains – longest streak in recent market history 1
• New listings rose 5.2% year-over-year – signaling renewed seller confidence entering summer season 1
• Total listings above 1 million threshold for sixth straight week – providing substantial buyer choice 1
💰 Pricing & Market Pace
• Median list prices increased 0.5% year-over-year – modest growth indicating sustainable pace 1
• Homes spending six more days on market compared to last year – reflecting reduced buyer urgency 1
• Price per square foot up 0.8% annually – underlying home values continue increasing moderately 1
🌎 Regional Price Variations
Price Gains: • Seattle: +1.1% year-over-year to median $895,000 9 • Atlanta: +2.4% year-over-year to median $435,000 10
Price Declines: • Phoenix: -2.9% year-over-year – most substantial decline among major markets 11 • Tampa: -0.69% year-over-year to median $459,000 12 • Sacramento: -0.098% year-over-year – indicating Western market softening 13
💰 Mortgage Markets
Overview: Mortgage activity rebounded strongly following Memorial Day holiday with robust application volumes, while interest rates showed mixed movement across different loan products and government program participation shifted.
📊 Application Activity
• Market Composite Index up 12.5% on seasonally adjusted basis for week ending June 6 2
• Purchase applications increased 10% weekly and 20% above same week last year – strong homebuying demand 2
• Refinance applications surged 16% weekly and 28% above year-ago levels – borrowers capitalizing on rate movements 2
• Refinance share increased to 36.7% from 35.2% previous week 2
📈 Interest Rate Movements
Rate Increases: • 30-year conforming loans: 6.93% (up from 6.92%), points decreased to 0.64 2 • Jumbo loans: 6.93% (up from 6.92%), points rose to 0.63 2 • 5/1 ARMs: 6.22% (up from 6.14%) 2
Rate Decreases: • FHA 30-year loans: 6.60% (down from 6.68%), points fell to 0.88 2 • 15-year fixed: 6.16% (down from 6.25%) 2
🏛️ Government Program Activity
• FHA loan share decreased to 18.0% from 18.7% week-over-week 2
• VA loan share dropped to 11.6% from 12.6% 2
• USDA loan share increased to 0.6% from 0.5% – modest rural housing demand 2
• ARM share increased to 7.2% of total applications 2
📋 Policy Changes
• FHA published Mortgagee Letter 2025-12 – “Tightening and Expediting Implementation of New Permanent Loss Mitigation Options” 14
• Sunset date established for COVID-19 era programs – transition to permanent assistance alternatives 14
📊 Economic & Political News
Overview: Major HUD leadership changes occurred alongside favorable inflation data, while proposed budget cuts to housing programs face strong industry opposition and Federal Reserve policy remains on hold.
🏛️ HUD Leadership & Budget Developments
• Andrew Hughes confirmed as HUD Deputy Secretary in 51-43 Senate vote on June 11 – youngest in HUD history 3 4
• Previously served as Chief of Staff under Ben Carson and current Secretary Scott Turner 3
• Secretary Turner testified before Senate Appropriations on June 11 regarding FY 2026 budget request 5
• NAHB opposes $26.7 billion cut to rental assistance programs including Project-Based Rental Assistance and Housing Choice Vouchers 15
• Key HUD positions remain vacant including FHA Commissioner and Ginnie Mae President 4
📉 Inflation & Economic Indicators
• May CPI increased 0.1% monthly and 2.4% year-over-year – below expectations 6
• Core CPI rose 0.1% monthly – slowest three-month pace (1.7% annualized) since early 2021 6
• Real wage growth approximately 1.5% for American workers with inflation below wage growth 6
• Core goods prices fell 0.04% in May despite tariff increases – vehicle price declines offset tariff pressures 6
🏦 Federal Reserve Outlook
• Wells Fargo expects Fed to hold rates unchanged at next week’s meeting based on favorable inflation data 6
• Core CPI expected to rise slightly over 3% in coming quarters due to higher tariffs 6
• Primary shelter costs moderated to 0.3% growth amid softening rents and owners’ equivalent rents 6
🏢 Industry News
Overview: Real estate industry activity featured strategic mergers, advanced AI technology rollouts, international market expansion, and ongoing platform disputes over listing data access.
🤝 Mergers & Acquisitions
• Century 21 Myers Realty merged with PAL Realty – Leesburg, Florida-based firm specializing in 55+ communities 8
• Expansion to seven offices with ~160 agents covering 120-mile central Florida service area 8
• PAL Realty founder June Robbins remains as broker associate to integrate systems 8
🤖 Technology Innovations
• AppFolio unveiled Realm-X Performers – AI tools for autonomous property management operations 16
• Realm-X Leasing Performer automates tenant acquisition, inquiry responses, and tour scheduling 16
• Realm-X Maintenance Performer analyzes requests, identifies issues via image recognition, creates work orders 16
• Customers save average 10 hours per week on administrative tasks using Realm-X tools 16
• Lead-to-showing conversion rates improved 73% for Realm-X users 16
🌍 International Expansion
• Unlock MLS partnered with Omni MLS – largest subscriber-based MLS in Latin America 17
• Integration covers 17 Latin American countries (expanding to 21) via Matrix system 17
• Responds to increasing U.S.-Latin America migration and cross-border investment interest 17
⚖️ Platform Disputes
• Zillow preparing to ban Compass listings in San Francisco and nationwide effective June 30 18
• Dispute centers on private listing sharing – Compass agents not sharing with Zillow within 24 hours 18
• Follows similar StreetEasy action in New York City market 18
🎯 Market Pulse: Balancing Act Continues
The Big Picture: Real estate markets are finding their footing in a more balanced environment. Rising inventory gives buyers breathing room while mortgage demand stays strong despite elevated rates. Federal housing policy faces significant uncertainty with proposed budget cuts, but new leadership at HUD provides continuity from previous Trump administration policies.
What’s Working: Technology innovations are streamlining operations, international partnerships are expanding market access, and inflation data supports Fed policy stability.
What’s Challenging: Proposed HUD budget cuts face industry opposition, platform disputes over data access continue escalating, and commercial real estate sentiment reflects broader policy uncertainty.
Bottom Line: Market participants should prepare for continued normalization in residential markets while monitoring federal policy developments that could significantly impact affordable housing programs and industry operations.