Key Points:
Real gross domestic product (GDP) growth was estimated at a 1.5% seasonally adjusted annualized rate (SAAR) in 2Q – down from 2.1% in 1Q.
- While headline growth was muted, private demand remained strong.
- Real final sales to private domestic purchasers – which is equal to personal consumption expenditures plus private fixed investment – grew at a rapid 3.9% SAAR.
- This difference is partially attributable to a surge in imports which do not contribute to GDP.
Quarterly Real Growth Trends
Seasonally Adjusted Annualized Rates
The monthly FHFA purchase-only index grew by 2.2% year-over-year in May (+3.1% SAAR).
- On a 3-month average basis, home price appreciation continued to decelerate growing at a 0.8% annualized rate – the slowest pace since August 2025.
- Annual price growth averaged 5.9% from 2016 to 2019.
FHFA Purchase Index
Seasonally Adjusted
