Fed Rate Cut: What It Means for Housing and Mortgage Markets

Despite a recent dip in mortgage rates and a slight bump in new home sales, many buyers are still sitting on the sidelines—and the uncertainty isn’t just about interest rates. In this episode, Ruben Gonzalez and Gabi Brennesholtz break down what the latest Fed decision signals, how buyer psychology is shaping demand, and why pricing trends are diverging sharply by region. With affordability improving but confidence lagging, this month’s market update is all about finding clarity in a mixed market.

In this episode, you’ll learn:

• Why falling mortgage rates aren’t immediately translating into higher home sales
• How the Fed’s recent quarter-point rate cut and labor market concerns are influencing rate movement
• What to watch in the treasury markets for clues about where mortgage rates are headed next
• Why buyer psychology and economic uncertainty continue to limit existing home sales
• Where price trends are diverging regionally—and what it means for buyers and investors
• How investors might capitalize on year-end opportunities, including bonus depreciation

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Timestamps:

00:00 Fed rate cut recap and what it means for the economy

02:40 Why mortgage rates don’t move in lockstep with Fed decisions

04:11 How treasury markets provide clues about future rate movement

07:28 The impact of falling rates on new home sales vs. existing homes

10:44 Regional pricing trends and where affordability is improving

13:50 Year-end opportunities for investors and motivated buyers

This podcast is for general informational purposes only. The views, thoughts, and opinions of the guest represent those of the guest and not Keller Williams Realty, LLC and its affiliates, and should not be construed as financial, economic, legal, tax, or other advice. This podcast is provided without any warranty, or guarantee of its accuracy, completeness, timeliness, or results from using the information.