Mortgage Rates Explained | Vancouver WA Market Update

So, what’s really happening—and how does it affect your buying power here in Vancouver, WA?

• Think of mortgage rates like the price of a bus ticket.
• The bus company (that’s the bond market) sets the price depending on how many people want a seat and how far the bus goes.
• The Fed doesn’t set the ticket price directly—it just makes announcements that make riders feel more or less confident about the ride.
• When riders feel great about the economy, they crowd other buses (like stocks) and fewer ride the bond bus.
• ➜ Fewer riders = higher ticket prices = mortgage rates go up.
• When riders get nervous, they hop back on the bond bus.
• ➜ More riders = cheaper tickets = mortgage rates go down.

1. The Fed cut its policy rate.
2. But that was already expected. What mattered was what Chair Powell said: a December rate cut isn’t guaranteed.
3. Investors had priced one in—so when Powell poured some cold water on that idea, bond prices dropped and rates went up.
4. A $15 billion corporate bond sale hit the market.
5. Think of it as adding a ton of extra seats to the bond bus all at once.
6. More supply → lower prices → higher yields → mortgage rates rise.
7. Stronger-than-expected economic reports.
8. ADP jobs and ISM services came in solid.
9. When the economy looks strong, investors expect fewer Fed cuts, so rates drift higher.
10. Freddie Mac’s weekly report confused the headlines.
11. You may have seen “rates fell,” but that average was measured before Wednesday’s midday spike—so real-time daily pricing actually went up.
12. Applications spiked—then cooled.
13. When rates dipped earlier, we saw a jump in refinance and purchase apps (including some here in Clark County, WA).
14. Once the Fed spoke and rates ticked back up, that surge cooled a bit.

• The average 30-year fixed sits near the highest level in about two months, though still well below the highs earlier this year.
• Markets are in “wait-and-see” mode, especially with limited government data releases.
• Investors now see a December rate cut as possible, not promised.

• Median home price: ~$544,000 (Zillow, Nov 2025)
• Days on market: ~41
• Pending sales: Up about 11% year-over-year (Redfin)

• Inflation data(CPI, PCE): Cooler readings help; hotter readings hurt.
• Jobs reports: Same story—soft numbers could ease rates.
• Big corporate bond deals: Flooding the market with new bonds can nudge rates up.
• Fed speeches: Any “fewer cuts ahead” tone can push rates higher; “more cuts soon” can pull them lower.

• If you find the right home and the payment fits—don’t wait for perfect headlines. Rates can change in hours.
• Ask about rate lock options and float-downs in case rates improve before you close.
• Looking at assumable loans Vancouver WA or DSCR loans in Washington for an investment deal? Now’s the time to structure financing strategically.

• Buying investment property in Vancouver WA? Small rate changes can impact your cap rate and cash flow—but there are still solid plays in multifamily and BRRRR strategies if you finance right.
• If you’re working with Kelyn Black at SellingKeys.com, pair your property analysis with smart loan structure—we can make your numbers work.

• If your current rate is more than a full percent above today’s quotes, it’s worth running the math.
• Consider your cost vs. breakeven—how many months until savings exceed refinance costs?

• Expect ups and downs through year-end.
• Get pre-approved and have a plan so you can jump when opportunity opens.

• “Fed cuts don’t automatically mean lower mortgage rates.” Rates move on investor expectations, not just Fed actions.
• “Why did rates pop this week?” Powell cooled December cut hopes, a $15B bond sale hit, and data came in stronger.
• “Are we back to the worst levels?” Nope. We’re off the lows but nowhere near the 2024 highs.
• “Should I wait?” Not if the deal and payment make sense today. You can always refinance when rates drop.