T
he US housing market is poised for a seismic shift, with some experts predicting 2025 will bring unprecedented opportunities for buyers. HGTV's Tarek El Moussa sees a "huge opportunity" emerging in the next year and a half, one that won't be marred by a crash. According to El Moussa, inventory levels are rising – up 17% year-over-year – but still lag behind historical norms.

    Mortgage rates have also begun to recede, with the 30-year fixed rate averaging 6.65% as of late March. However, El Moussa cautions that while inventory is thawing, it's not yet back to normal. The main culprit: homeowners who are locked into low mortgage rates and can't afford to move or qualify for new loans.

    When asked about the impact of the Trump administration on the market, El Moussa dismissed any notion that politics were driving the changes. Instead, he attributed the shift to the Federal Reserve's efforts to prevent a recession while also keeping prices from inflating further. This, in turn, has led to interest rates "toggling up and down" over the past couple of years.

    Looking ahead, El Moussa predicts a fundamental shift in homeownership trends: people will be staying put for longer periods, opting instead to remodel or expand their existing homes. The government is also taking steps to address the housing shortage by tapping into federal lands to create more affordable housing options.