09/26/2023
Who holds the key to lower mortgage rates? The Federal Reserve.🏦
And the Fed isn’t going to think about cutting the Fed Funds Rate until they see core inflation, which removes food and energy prices, convincingly heading towards their target of 2%.🎯
Recently, the core inflation reading continued to decline to a rate of 4.3% in August. While that’s a significant improvement from almost 7%, it’s still above the Fed’s 2% target.🌍🧭
Will the progress we’ve seen be enough for the Fed? It may be enough for the Fed to stop hiking, but we will likely need a bit more progress in inflation and some weaker employment numbers for them to consider cutting rates.🏛🛑
If you're contemplating how these economic shifts could impact your path to homeownership, contact me today.😎💪👨🏫🏡