November Mortgage and Real Estate Market

Zachary Schwartz
Nov 3
3 min read

Cartoon family in kitchen, torn calendar pages on floor. November calendar on wall, woman holds coffee cup. Warm colors, casual scene. — Final Stretch of 2025

The new week brings a modestly improving backdrop for buyers and homeowners. Rates eased from recent peaks, inventory is trending higher than last year, and the Federal Reserve cut its policy rate by 25 basis points on Oct. 29, 2025 [1].

Market snapshot

Mortgage rates

Freddie Mac’s Primary Mortgage Market Survey remains the industry’s standard weekly benchmark [2]. Use it as your anchor when comparing quotes this week.

For historical context, the Federal Reserve Bank of St. Louis (FRED) data [3] shows how 30-year fixed rates have steadily declined from 2024 highs into late 2025.

Home sales and inventory

Existing-home sales rose 1.5 percent in September to a 4.06 million annual rate [5]. Inventory reached 1.55 million units, a 4.6-month supply, up from 4.2 months a year earlier.

Reuters [8] confirmed it was a seven-month high, with the national median home price up 2.1 percent year over year.

Active listings remain higher than last year. FRED’s Active Listing Count series [4] shows roughly 1.1 million listings nationwide entering Q4 2025. Realtor.com’s trend reports [7] support this gradual climb.

Policy watch

The Federal Reserve lowered the target range for the federal funds rate to 3.75–4.00 percent and signaled a data-dependent approach [2]. Analysts at The Mortgage Reports [9] expect this to support additional downward pressure on mortgage rates into early 2026.

What this means for you

Buyers

Lower rates improve purchasing power. Combined with more listings, buyers gain some negotiating leverage [4][7].

Next step: secure a full pre-approval (not just a pre-qualification) to compete effectively when the right property appears.

Homeowners considering a refinance

If your current rate is above recent Freddie Mac averages [1], consider a rate-and-term refinance. A 0.5 percentage-point reduction can lower a $400,000 loan payment by about $130 per month. Review closing costs and breakeven timing before committing.

Sellers

With months’ supply rising [5], pricing and presentation matter again. Homes in good condition and priced realistically still sell well. Monitor the Pending Home Sales Index [6] for signals on short-term demand.

Chicago metro notes

In the Chicago area (Cook, DuPage, Lake, and Will counties) the same trends hold: slightly softer prices, longer market times, and more available homes. Property taxes and HOA dues vary widely by suburb, so include them early in your affordability and qualifying calculations. Town Team Mortgage can map loan type, debt ratios, and reserve requirements to local costs before you write an offer.

Mortgage rate, payment, and affordability example

Loan amount: $400,000
Rate comparison: 6.75 percent vs 6.25 percent (30-year fixed)
Monthly principal and interest: about $2,594 vs $2,462
That $132 difference each month equals nearly $1,600 per year — a meaningful savings if you expect to keep the loan for several years [1][3].

Action plan for this week

Buyers: Collect documentation, verify assets, and request a fully underwritten pre-approval.
Refinancers: Send your current loan note and payoff statement for a breakeven review.
Sellers: Screen potential buyers for full pre-approval letters to avoid late-stage surprises.