Slideshow Real Estate Finance Projections for 2014: A Roundup

  • December 27 2013, 5:16pm EST

More Home Sales, Less Price Appreciation Going Forward

Home sales will rise to 5.9 million units in 2014 from more than 5.5 million in 2013. Home price appreciation as measured on different indices may subside a bit, falling from around 11% this year to 6% in 2014, according to Freddie Mac. (Image: Fotolia.)

Rates Will Get a Half Percent Higher

The 30-year mortgage rate will rise by 50 basis points to 5% by yearend, according to Freddie Mac’s forecast. The 30-year rate was about 1% higher than it was a year ago in Freddie’s last primary market survey. (Image: Fotolia.)

Content Continues Below

Purchases Take Over

The purchase-refi origination mix will go from about 60%-40% on average for this year currently to 40%-60% on average for next year, according to Freddie’s forecast. (Image: Fotolia.)

Government-Related RMBS Will Drop

Gross Fannie Mae, Freddie Mac and Ginnie Mae mortgage-backed securities issuance will total more than $1 trillion in 2014, down over $500 billion from 2013, MBS strategists at Bank of America Merrill Lynch are forecasting. (Image: Fotolia.)

Content Continues Below

Freddie Multifamily MBS Will Fall Unless New FHFA Head Acts

Freddie Mac forecasts $25 billion in multifamily issuance for 2014, down from an estimated $28 billion for 2013. Mel Watt as the new head of Freddie’s regulator could change this, though. (Photo: Bloomberg)

The Highest Estimate for 2014 CMBS Issuance Is…

Commercial mortgage-backed securities issuance could increase as much as $125 billion from about $90 billion in 2013, according to the extraordinarily bullish Anthony Orso, CEO, Cantor Commercial Real Estate.