September 18, 2024
The Fed made a bold move today, cutting rates by 50 basis points, more than the expected 25 basis points. This decision has already brought mortgage rates down, with 7-year ARM Jumbo rates now hovering at 5.75%, translating to $5,835/month per million with no banking relationship.
Analysts are now predicting another 50 basis point rate cut by the end of the year, and an additional 100 basis points in cuts next year, driven by continued efforts to control inflation and support economic growth. These reductions could push mortgage rates even lower, creating a great opportunity for buyers to act now.
Fun fact: Historically, sharper rate cuts like this tend to spur increased buyer activity, driving up prices once more people jump into the market.
Pro Tip: Get in ahead of the crowd and making your offers before the competition heats up!
