Mortgage Rates Remain Elevated Despite Federal Reserve Rate Cuts

President-elect Trump's economic policies raise concerns about inflation and housing affordability heading into 2025.

The national average for 30-year fixed mortgage rates is currently 6.79%, with rates varying by state and lender-specific factors.
Federal Reserve rate cuts in September and November have not significantly lowered mortgage rates, which remain near 20-year highs.
Economic concerns tied to Trump's proposed tariffs, tax cuts, and immigration policies could increase inflation, potentially driving mortgage rates higher in 2025.
Housing affordability remains a critical issue, with high home prices and mortgage rates pricing many first-time buyers out of the market.
The federal deficit is projected to grow by $7.75 trillion over the next decade under Trump's proposed policies, potentially leading to higher Treasury yields and further pressure on mortgage rates.