HOMZ ETF

With the housing market expected to stabilize in 2025, investing in these funds is becoming more appealing. This positive outlook encourages more people to consider these investments. As a result, it could be a good time to invest.

Homebuilder ETFs have been experiencing strong growth lately due to positive data, decreasing mortgage rates, and cuts in the Federal Reserve's interest rates.

The increasing uncertainty in the U.S. housing market, driven by President Trump's economic plans, makes these ETFs less appealing.

The Federal Reserve's interest rate cut in September and the anticipation of a decrease in 30-year mortgage rates create a positive outlook for the housing market, which makes investing in housing ETFs attractive.

The housing market has been positively affected in recent weeks due to hopes that the Fed will begin lowering interest rates at its upcoming meeting in September.

Market expectations for a 100 basis point interest rate cut by the end of 2024 have led to a significant drop in the 30-year mortgage rate, reaching its lowest point in more than a year. Consider exploring housing ETFs to take advantage of this positive trend in mortgage rates.

With increasing expectations of an interest rate cut in September, the future for mortgage rates and the housing market turn optimistic. Look into ETFs to capitalize.

Shares of RH (formerly known as Restoration Hardware), a prominent luxury furniture retailer, seem to be very volatile over the past year and are down 27.7% during the period. In contrast, Hoya Capital Housing ETF HOMZ has gained 3.7% in the same period, which has 20% exposure in the home improvement and furnishings segment.

Retail investors should consider REITs in their portfolios for diversification and income streams. Hoya Capital created REIT ETFs in response to subscriber demand for higher yielding products.