Fitch Ratings has given a stable housing and mortgage outlook for the US in 2019. However, the ratings agency has said that slower home price appreciation, subdued mortgage lending growth, and U.S. policy and administrative changes at the Federal Housing Finance Agency (FHFA) are likely to present challenges.
In this video that compared the U.S. housing market with 24 other global housing markets, Fitch said that relatively solid sector fundamentals and macroeconomic conditions that support a stable housing and mortgage market would keep the market stable despite other countries seeing much slower growth. Despite this, higher mortgage rates were causing price gains to moderate.
Though limited housing supply fueled the price growth in some U.S. cities, affordability constraints would temper housing demand and help cool overheated markets. "We project U.S. home price growth will slow to 3 percent to 4 percent from 5 percent average in recent years," Fitch said.
Here's how the U.S. housing market compares to other global markets: