Mortgage Market Update, August 2026
Mortgage rates remain elevated above pre-war levels, with 30-year fixed rates in the 6.00% to 7.00% range.
What the Fed is likely to do
Middle East uncertainty, combined with persistent inflation, has led to talk of a Fed increase, but employment numbers softened… so I’d bet on “no change” at the next meeting.
Inflation is stubborn
The Fed’s 2% inflation target remains a challenging pursuit. Core inflation has fallen while food (and other inputs) has increased. Are we headed into a stagflationary period? Too early to tell.
The bottom line
Long story short, if you’re holding out for 3% and 4% mortgage rates, you need to let that go… 6% is here to stay. If you’d like to talk through your options, call me…
Originally published in The Trusted Advisor, August 2026.
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