Fed Cuts Rates, Mortgage Rates May Not Follow
Update: 2025-12-12
Description
Federal Reserve cuts interest rates, but mortgage rates may not follow suit. The Feds decision to lower rates to 3.5-3.75% is aimed at managing inflation and supporting employment. However, mortgage rates, influenced by factors like the job market and inflation, have only seen a small dip. Experts warn against expecting significant mortgage rate cuts, with forecasts suggesting theyll likely stay just above 6% in 2026. Homebuyers should focus on broader economic data, not just the Feds actions, when making home purchase or refinancing decisions.
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