The U.S. housing market is expected to see modest growth in home prices in 2025, according to various forecasts. HousingWire projects a 3.5% increase, while Capital Economics forecasts a 4.0% rise. Freddie Mac predicts a smaller 0.6% growth, and Bank of America anticipates a 4.7% increase as measured by the Case-Shiller National Home Price Index. Zillow estimates a 2.6% rise in home values nationwide. Meanwhile, investor confidence in the stock market is at historic highs, with UBS reporting a 37-year peak in optimism for rising stock prices, fueled by activity in crypto, S&P 500 futures, and leveraged ETFs. Bank of America’s sell-side indicator is at 56.7%, the highest since early 2022, and the bank expects equities to deliver 5-6% annual returns over the next decade. Bank of America also forecasts the Nifty index reaching 26,500 by the end of 2025 and anticipates a 10% gain for the S&P 500 during the same period. However, broader consumer and business sentiment remains subdued. Additionally, tax changes in 2025 are expected to impact owners of older cars and family electric vehicles, with significant increases in vehicle excise duty (VED) under new bands introduced by Rachel Reeves's budget.