Fed raises rates 25 basis points; mortgage rates track long-term yields, column says
The Federal Reserve raised its federal funds target by 25 basis points on Sept. 16, to a range of 3.75% to 4%, according to a HousingWire column.
Key facts
- The Federal Reserve lifted the federal funds target by 25 basis points on Sept. 16, putting the range at 3.75% to 4%.
- The federal funds rate moves short-term and variable-rate borrowing more directly than fixed mortgages.
- Thirty-year fixed mortgage rates respond more to long-term bond yields, inflation expectations and the economic outlook.
- Tim Deibert of Note Mortgage says oil flows through the Strait of Hormuz could affect energy costs and inflation.
- The HousingWire column says buyers in many markets now have more room to negotiate concessions.
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Source: Fed Rate Hike & What It Means for Mortgage Rates — HousingWire, October 6, 2026. Summary and commentary by RISE Community; read the full story at the source.
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