Still Stuck Near 7%: What the Fed Means for Mortgages

🎯 Takeaway

- The Fed is expected to **hold rates steady** at ~4.25–4.5% today, so don’t expect mortgage relief just yet. - **30‑year mortgage** averages around **6.8–7.0%**, thanks to Treasury yield trends. - 📉 A **cooling job or inflation report** later could tip the scales toward lower mortgage rates by late 2025.

Why this matters

📊 **Fed’s move = bank clue, not direct mortgage drop** The Fed sets short-term rates—but your mortgage hinges on the 10‑year Treasury yield. Fed pauses help bond yields stabilize, which can ease mortgage rates a bit, but not much :contentReference[oaicite:2]{index=2}. 🏡 Rates still in the high‑6’s Today, the average 30‑year fixed sits near 6.81%, with 15‑year around 5.96%—slightly down from last week but still much higher than pandemic-era lows. 📉 What could drop rates? Mortgage experts warn: unless inflation or jobs data soften, rates won't budge. But if they do, spreads between mortgage and Treasury rates might narrow, nudging your rate lower.

💡 Quick guide: What it means for you

• 🛒 If you’re house‑hunting, don’t wait forever—**rates aren’t falling fast**.
• 💼 Need a loan? **Look into discount points or buy‑downs** to shave off a chunk of your rate.
• 📅 Keep an eye on upcoming **inflation and jobs reports**—a surprise could shift markets.

Better blog post titles

• 🏡 “Why Your Mortgage Rate Isn’t Dropping—Yet”
• 💰 “Fed Hits Pause: What It Means for Your Loan”
• 📊 “Fed Holds Rates: Why Your Mortgage Stays High”