How Fannie Mae’s 2025 Housing Forecast Impacts Clark County Buyers and Sellers

The August 2025 Fannie Mae Housing Forecast provides a clear picture of where the housing market is heading, and it has direct implications for buyers and sellers here in Clark County, WA. With mortgage rates holding near historic highs, home prices leveling off, and sales volume projected to rebound in 2026, today’s market requires a data-driven strategy. Whether you’re considering buying, selling, or waiting, here’s what the numbers mean for you.

Mortgage Rates: Near-Term Pressure, Long-Term Relief

According to Fannie Mae, the 30-year fixed mortgage rate will average 6.7% in 2025 before gradually easing to 6.2% in 2026.

• For buyers, this means affordability remains stretched. Payments are significantly higher compared to just a few years ago, and qualification standards are tighter.

• For future buyers, the forecast signals some relief ahead. As rates tick downward, purchasing power will improve, though demand could surge in response, creating more competition.

Home Sales and Price Growth: Stability Ahead

Home sales are projected to stay relatively flat in 2025 but are expected to grow more than 10% in 2026. Price growth is also cooling: after a 4.8% increase in 2024, appreciation is forecasted to slow to just 1.1% by 2026.

• For today’s buyers, this is encouraging news. The days of double-digit annual price spikes are behind us. Inventory is expanding, bidding wars are less common, and negotiations are back on the table.

• For sellers, the equity picture remains strong. Most homeowners have built substantial wealth over the past five years, even with slower appreciation ahead. Correct pricing and strong marketing will matter more than ever in attracting qualified buyers.

Clark County’s Local Outlook

National forecasts are helpful, but local dynamics tell the real story:

• Vancouver’s waterfront continues to draw luxury buyers from Portland and beyond, even as higher interest rates slow activity elsewhere.

• Camas and Ridgefield remain hot spots due to top-ranked schools and new construction. Demand here may outpace the national cooling trend.

• Investors are watching closely. With steady multifamily construction and persistent rental demand, duplexes and smaller multifamily properties in Clark County are positioned as long-term winners.

What Buyers Should Do Now

If you’re planning to purchase in the next 12–18 months, waiting for lower rates might feel tempting. But the forecast suggests that when rates fall, competition will rise. Buyers who act in today’s slower environment may be able to negotiate better terms, secure seller concessions, or lock in a property before the rebound.

What Sellers Should Do Now

Pricing strategically is key. The market is no longer about “name your price and wait for multiple offers.” Instead:

• Lean into professional marketing, staging, and digital exposure to stand out.

• Understand that time on market is normalizing - patience and preparation are essential.

• Highlight the lifestyle factors buyers are chasing - commute-friendly locations, high-performing schools, and Clark County’s growing luxury market.

Looking Ahead: The 2026 Market

By 2026, lower mortgage rates combined with more stable home prices could ignite a stronger housing market. For buyers, that means increased competition. For sellers, it means a larger buyer pool but less pricing power. In short: 2025 is the year of positioning, and 2026 is the year of movement.

Final Takeaway

The Fannie Mae Housing Forecast points to a period of transition. Buyers in Clark County today have the advantage of less competition and more negotiation power. Sellers still benefit from historic equity but must adjust to a market where presentation and pricing drive results. And for those waiting until 2026? Be prepared for a busier, more competitive landscape once rates come down.

If you’re considering making a move in Clark County real estate, now is the time to evaluate your strategy. Whether you’re buying your first home, upgrading to a luxury property, or selling in a shifting market, aligning with the right data and guidance will give you the edge.