Overview
- Freddie Mac reported the 30-year fixed rate at 6.19% on Oct. 23, the lowest in about a year.
- Fannie Mae’s October outlook now projects mortgage rates ending 2025 at 6.3% and 2026 at 5.9%, a slight downward revision.
- The forecast raises 2025 total home sales to 4.74 million and lifts projected single-family originations to $1.88 trillion.
- Traders are pricing in additional Federal Reserve cuts in coming months, but mortgage costs will track the 10-year Treasury yield.
- About 20% of outstanding U.S. mortgages have rates of 6% or higher, signaling potential refinancing if long-term yields fall.