Found 4 blog entries tagged as Mortgage Rates.

If you've been waiting for mortgage rates to come down before buying or selling a home, the last six months have probably been frustrating.

On February 23, the national average for a 30-year mortgage briefly fell below 6%, reaching 5.99%.

As of September 3, that average has climbed to 6.88%.

So, what happened? And perhaps more importantly for buyers and sellers in Placer County, what could cause mortgage rates to move up or down from here?

The Fed Doesn't Directly Control Mortgage Rates

This is probably one of the biggest misconceptions about interest rates.

Since February, the Federal Reserve has met four times and has not raised its short-term interest rate once. It kept rates unchanged at every meeting.

Yet during that same…

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Yesterday, the Federal Reserve held short-term interest rates steady—which is what most people expected.

But at the same time…

Mortgage rates have risen roughly 0.4% since the conflict with Iran began.

So what’s going on?

If the Fed didn’t raise rates, why did mortgage rates move higher?

The answer comes down to a chain reaction that’s worth understanding—especially if you’re buying or selling real estate in Placer County and the surrounding areas.

 

It Starts With Oil

When global conflicts involve or impact major oil-producing regions, markets immediately react to the risk of supply disruption.

Even the possibility of disruption can push oil prices higher.

And when oil prices rise, it doesn’t just affect gas at the pump.

…

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For the first time since Fall of 2022, mortgage rates have dipped below 6%.

On paper, that may not sound dramatic. But in real estate, psychology often matters just as much as math.

Let’s break down what this means — especially here in Placer County.

The Psychological Impact of “5%”

Here’s something interesting.

The difference in monthly payment between 6.1% and 5.98% on a $700,000 loan is relatively small. It’s not life-changing.

But psychologically?

It’s very different.

We haven’t seen a “5” in front of mortgage rates in years. Many buyers have mentally anchored their decision to move forward on that threshold. For some, crossing below 6% isn’t about the payment — it’s about momentum.

That shift in perception alone can…

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As we kick off the new year, one topic is dominating conversations across Placer County: mortgage rates have recently dipped to their lowest levels in roughly three years.

While rates are still above the historic lows of the early 2020s, this drop is meaningful — and it’s already influencing real estate decisions for buyers, sellers, and homeowners throughout the region.

Here’s what’s driving the change, why it matters locally, and how to think about it going forward.

What’s Going On With Mortgage Rates?

Over the past several days, mortgage rates have eased due to a combination of factors — including a recent federal mortgage-bond purchase announcement, which helped push bond prices higher and mortgage rates lower.

At the same time,…

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