• Goldman Sachs expects higher mortgage rates to outweigh US housing shortages in 2027, reducing existing-home sales and new construction.
• Existing-home sales are projected at 3,900,000, down from 4,000,000 in 2026; the forecast is 26% below 2019 levels.
• Home prices are forecast to rise 0.8% December-over-December in 2027, versus 1.1% in 2026.
• Rates on 30-year mortgages are expected to decline to 6.4% in 2027 from 7.32% as of October 22.
• More than 95% of mortgage borrowers hold below-market rates, creating a lock-in effect that discourages sales and constrains housing activity.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. The Goldman Sachs Group Inc. published the original content used to generate this news brief on October 30, 2026, and is solely responsible for the information contained therein.