The average 30-year fixed mortgage rate slipped to 6.38% this week after cooler-than-expected inflation data boosted hopes for Federal Reserve rate cuts later this year.
Rate watchers say the market is pricing in two quarter-point cuts in 2026. Further improvement depends on continued progress on inflation and labor market data.
Buyers who have been waiting on the sidelines may find the current environment favorable, particularly with inventory levels improving in many markets.
