The Federal Reserve cuts interest rates again

🎄 Good morning, and welcome to our final issue of the year!

• Thank you for being such a loyal reader. We're excited to bring you even more amazing content in 2025. Wishing you a joyous holiday season!

Today's newsletter is 742 words — a 3-minute read.

1. The Federal Reserve cuts interest rates again

The Federal Reserve announced a quarter-point cut to its key interest rate yesterday, marking its third rate cut of 2024. The move brings the Fed's target rate between 4.25% and 4.5%.

In its statement announcing the cut, the Fed now projects only two interest rate cuts for 2025. It noted that the unemployment rate remains low, while inflation 'remains somewhat elevated.'

• A separate document released by the Fed on the same day indicates that central bankers no longer believe they will hit their desired 2% inflation target until 2026.

Despite the cautious outlook, Fed Chair Jerome Powell sounded optimistic about the state of the economy, especially compared to how other countries have performed.

2. RealPage software raises Dallas-area rents

According to a report from the White House Council of Economic Advisers, in 2023, renters in the Dallas area paid an average of $132 more per month if their landlords used pricing software from RealPage.

RealPage, facing an antitrust lawsuit from the Department of Justice (DOJ) that alleges its pricing tools enable landlords to collectively raise rents, defended its technology, and urged the administration not to blame it for broader housing policy issues.

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3. Catch up quick

💰 The most expensive ZIP codes in Texas. (Forbes)

📉 36% of Americans want the housing market to crash. (LendingTree)

🏗️ Dallas has built more apartments than any other metro since 2014. (MSN)

👨‍🦰 Where different age groups are buying homes. (Redfin)

🚪 American homeowners are wasting more space than ever before. (CNBC)

🏠 Fun read: Santa's House returns to Zillow. (HoustonAgentMagazine)

4. Major twist in the murder case of wealthy Texas realtor Suzanne Simpson

Brad Simpson, husband of missing Texas realtor Suzanne Simpson, remains behind bars accused of killing the 51-year-old mom of four, and his longtime business partner was formally charged this week in the investigation.

James “Val” Cotter was indicted by a grand jury on Monday on charges of tampering with evidence with the intent to impair an investigation and possession of prohibited weapons, according to records with the Bexar County Jail, KSAT reported.

Cotter, Brad Simpson’s longstanding friend and business partner, is accused of hiding Simpson’s gun after they exchanged a series of ominous texts on Oct. 8, just two days after his wife went missing and prior to Simpson’s arrest on Oct. 9.

5. Single-family investors are preparing to buy in 2025

76% percent of single-family investors say they are 'very likely' or 'somewhat likely' to purchase at least one investment property in the next 12 months, up from 60% who felt the same way in Q3 2024, according to a survey by ResiClub.

How likely single-family rental investors say they are to buy another investment property in the next 12 months

6. Existing home sales rise to the highest level in over a year and a half

Existing home sales rose 0.7% month over month in November to a seasonally adjusted annual rate of 4,269,851—the highest level since March 2023.

They jumped 4.5% year over year—the largest annual increase since July 2021, according to a new report from Redfin.

• The median home sale price rose 5.4% year-over-year in November to $430,107, marking the largest annual increase since April.

• New listings declined 1.6% month-over-month on a seasonally adjusted basis and were down 4.8% compared to the previous year.

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