Mortgage Rates Drop Ahead of Expected Fed Rate Cut

Rates have decreased significantly in anticipation of a Federal Reserve rate cut, with further declines expected through 2024 and 2025.

Current average mortgage rates for 30-year fixed loans are around 5.70%, down from 6.19% in August.
The Federal Reserve is expected to announce a 25-basis-point rate cut at its upcoming meeting on September 17-18.
Mortgage rates have been trending downward due to cooling labor market data and expectations of multiple Fed rate cuts this year.
Experts suggest that while rates may not drop significantly after the initial Fed cut, further reductions could occur in November and December.
Home prices are expected to rise despite lower mortgage rates, due to limited housing inventory and ongoing demand.