Previously in early September (the 4th to be precise), you may have read BUY THE RUMOR, SELL THE FACT here on my BLOG. I said mortgage rates might go up after the Federal Open Market Committee (FOMC) met on September 17th. While the Fed cut rates that day as expected, did you notice what mortgage rates did and have been doing since then?

The short answer is that they have moved in both directions. Huh?

If you have not watched them closely, you can visit https://www.freddiemac.com/pmms . Then, click on the link CURRENT MORTGAGE RATES DATA SINCE 1971. This Excel Spreadsheet reports the weekly Freddie Mac rates as of EVERY Thursday. Did you notice that the mortgage rates slowly dropped from September 4th through September 18th?

Check out what happens next. The mortgage rates reversed as they started going back up for the 2 weeks after September 18th.

Now look one more time at the mortgage rates after October 2nd. Can you see how rates are dropping back down again starting the week of October 2nd? No, I was not wrong in my previous blog post about interest rates. The reason is because BUY THE RUMOR, SELL THE FACT is repeating itself again for October. I predict it will repeat itself again at the next and last meetingof 2025.

The oddsmakers are predicting a 100% chance of a Fed Rate Cut this month and 88% next month.   https://www.cnbc.com/2025/10/01/lockdown-fed-interest-rates.html

What does this mean for you if you plan to lock in a mortgage anytime soon, like the next few days?

Lock the rate in before the Fed meets next.

If you buying a property next month, and are not buying a property this month, then wait to lock in just before the last Fed meeting this year.

Posted in blog, Market Predictions