CalculatedRisk Newsletter β’ 244 implied HN points β’ 07 Jul 25
- Home prices are cooling down, with some areas seeing more significant drops. This could affect homeowners' equity and lead to financial challenges.
- Many people are using adjustable-rate mortgages or temporary buydown options to manage monthly payments. While this can help now, it may create issues later when rates increase.
- Student loan debts are becoming a bigger problem for homeowners, increasing the risk of them falling behind on mortgage payments. Almost 30% of FHA borrowers also have student loans, and those struggling with student debt are more likely to have mortgage issues.