Fed rate cut expectations

What Today’s Meeting Really Means for Mortgage Rates

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Fed Rate Cut Expectations: What Today’s Meeting Really Means for Mortgage Rates

Brady Webb
December 9, 2025

Fed Meeting Today: What Really Matters for Mortgage Rates

The Federal Reserve meets today, and many analysts expect to see a rate cut announced at tomorrow’s 2 PM press conference. It sounds like big news—and it is—but the impact on mortgage rates isn’t always what the headlines make it seem.

If you’re buying, selling, refinancing, or watching the Cape Coral and Fort Myers housing market, here’s what actually matters.

A rate cut today won’t surprise the market. Investors have been preparing for this for weeks, so financial markets have already priced in the expected change. When the Fed does exactly what Wall Street anticipates, mortgage rates usually don’t swing much afterward.
The Fed doesn’t directly set mortgage rates. The Fed funds rate controls overnight lending between banks—not the rates homebuyers actually receive. Mortgage rates follow the 10-year Treasury and broader economic forces like inflation, job data, and expectations about future Fed policy.
The real impact depends on the Fed’s outlook. Markets care less about today’s cut and more about what the Fed says next. If their projections point to more rate cuts ahead—especially into 2026—mortgage rates may improve. If their tone is cautious or uncertain, rates are likely to remain steady.

What This Means For You

For Homebuyers - Don’t expect tomorrow’s announcement to suddenly improve affordability. The best opportunities come from increasing inventory and negotiating room—not chasing headlines.
For Refinance Clients - Whether a refi makes sense depends on your specific numbers, equity, and long-term goals. I’m happy to run scenarios anytime and give you real numbers instead of guesswork.
For Realtors - Use this moment to reset buyer expectations. Many clients pause their plans waiting for a “big rate drop,” but the data doesn’t support a dramatic shift overnight.

Bottom Line

A rate cut is likely, but meaningful movement in mortgage rates only happens when the market believes more cuts are coming. If you want a personalized breakdown or support navigating this market in Florida or Kentucky just reach out anytime.

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