Why mortgage rates remain high despite federal reserve rate cuts

Category: Finance

Despite the Federal Reserve's recent interest rate cuts, mortgage rates remain high due to factors like Treasury yields, inflation expectations, credit risk, and economic conditions. Prospective homebuyers face increased borrowing costs, which may limit their purchasing power. The National Association of Realtors predicts a slight decline in mortgage rates by 2025, but the overall impact of the Fed's cuts on mortgage rates is limited.

Keywords: Mortgage Rates, Federal Reserve, Interest Rates

Source: The Africa Logistics

Update At: 12/19/2024

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