• calendar_month August 24, 2024
• folder RE News

In a highly anticipated speech on Friday, Fed Chair Jerome Powell said the "time has come" to loosen monetary policy. He cited that inflation has declined "significantly" and the labor market is "no longer overheated." He added that incoming economic data will determine the timing and pace of rate cuts. As a result, mortgage rates ended the week a little lower, near the year's lowest levels.

This shift is expected to be confirmed at the Fed’s next meeting in mid-September, marking the first rate cut since 2020. Powell’s decision comes as new data suggests that job growth over the past year may have been weaker than initially reported. Economists are predicting that the number of jobs added could be revised down by as much as a million, indicating the labor market has been cooling off more than we thought.

Since mortgage rates are an essential part of the home buying process we in the real estate industry constantly track the catalysts that drive change. For home buyers and sellers, this is good news. A lower rate means more buyers actively looking and for sellers now is the time to list your home. 

Call today so that we can get you pre-approved. Sellers let's get your home listed and ready for the flood of buyers coming your way.