Monday, May 12, 2025

What to Watch - Easing Tariffs

Easing Tariffs and Cooling Inflation Boost Housing Market Stability  

Tariffs have dominated headlines since early April, significantly impacting the financial sector. Global market uncertainty has driven U.S. mortgage bond and Treasury prices lower, pushing yields and home borrowing costs higher.

Recent developments have brought some relief as tariff tensions ease and inflation cools. The White House has paused high reciprocal tariffs and scaled back planned increases on imports from China. The Consumer Price Index (CPI) has declined for two consecutive months and is expected to continue edging lower.

The housing market is showing signs of resilience. A Realtor.com report indicates a 27.5% increase in homes for sale compared to last year, a trend experts predict will persist. New and existing home sales have exceeded expectations, with March new home sales rising 7.4% to an annualized rate of 724,000, surpassing forecasts of 684,000. Home borrowing costs, which had been declining before tariff-related volatility spiked, rose but have recently started to ease.

As markets stabilize, the combination of cooling inflation, easing tariff pressures, and a robust housing sector suggests a more favorable environment for homebuyers and investors. Continued monitoring of tariff negotiations and economic data will be crucial to sustaining this momentum.

Bottom Line: Easing tariff tensions and cooling inflation are stabilizing markets, boosting housing inventory and sales, with borrowing costs showing signs of moderation, creating opportunities for homebuyers and investors.

Source: Mortgage Market Guide

Team Lasson is here to assist with all of your home buying needs!  If you’re considering taking the leap into home ownership in the near future, we’re here to help.  Contact us today to explore which loan program aligns best with your financial goals. 

The first step in preparing for your big purchase is to get pre-approved for a mortgage at Lake of the Ozarks.  Visit www.yourlakeloan.com or call us at (573) 216-7258 to get started today!





Michael Lasson

Senior Mortgage Banker

NMLS #:  493712

Flat Branch Home Loans – Team Lasson

2882 Bagnell Dam Blvd

Lake Ozark, MO 65049

Cell:  (573) 216-7258

Email:  teamlasson@fbhl.com

Website:  www.yourlakeloan.com

**The postings on this site are my own and do not necessarily represent Flat Branch Home Loans positions, strategies, or opinions.

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