Real Estate Refresh

The Fed raised rates Wednesday. I know. You heard. Everyone heard. I am going to spend exactly one paragraph on the mechanics of it and then I want to talk about something that I think matters way more for understanding where this is all headed for Americans, not just real estate. The Federal Reserve voted unanimously 12-0 to raise the federal funds rate by 25 basis points to a target range of 3.75% to 4% - its first increase in over three years. Warsh said plainly: "The pla

You already know this because everyone is freaking out: Mortgage rates crossed above 7% this week. The positive story for this housing market all year was that mortgage spreads - the gap between Treasury yields and your actual rate - had been better behaved than at any point during the post-pandemic rate surge. That discipline was supposed to be the thing that kept rates below 7% even when everything else was going wrong. On Thursday the 10-year Treasury yield rose to 4.92%

I’m gonna start with the bad news just to get it over with. Mortgage rates hit their highest level in over a year as a global bond selloff intensified and Fed Chairman Kevin Warsh signaled in a closely watched speech that the central bank may soon need to raise benchmark interest rates. The average 30-year fixed mortgage rate rose to 6.71% this week. Traders currently see roughly 50-50 odds of a 25-basis-point rate increase when the Fed meets in mid-September. That was the he