Mortgage Rates Hit Yearly Lows—Then Bounced After the Fed Cut | Here’s What It Means for Clark County Homeowners and Buyers
With mortgage rates fluctuating, now is the time to act. Lower rates can mean more affordable payments, helping you seize your dream home despite market challenges.
We just saw some of the most movement in rates all year—and Clark County homeowners are already reacting. Rates dipped to 12-month lows early in the week, then bounced after the Fed meeting. Even so, mortgage applications just had their biggest surge since 2021. Let me break down what happened and why it matters right here in SW Washington.
This Week at a Glance
Early week: 30-year fixed mortgage rates touched new lows, riding a four-month slide in bond yields.
Fed Day (Wednesday): The Fed trimmed their policy rate by 0.25%. But instead of rates falling further, mortgage pricing ticked up. Why? Because the Fed’s “dot plot” and Chair Powell’s comments signaled a cautious approach moving forward.
Thursday: Stronger economic data pushed rates up a bit more—still below much of the past year, but off the lows.
Applications: Mortgage applications jumped the most since 2021—mostly from homeowners refinancing when rates hit the lows earlier in the week.
Why Rates Rose After a Fed Cut
Here’s the key: the Fed Funds Rate is not the same thing as mortgage rates. Mortgage pricing follows the bond market (mortgage-backed securities and Treasuries).
The actual 0.25% cut was already baked in. What moved markets was the Fed’s tone—slower and more cautious on future cuts. That spooked bonds, which nudged mortgage rates higher.
What We’re Seeing Locally in Clark County
When rates dipped, buyers and homeowners in our market jumped:
Refinances: Biggest spike since 2022. Families with larger balances locked in savings before the mid-week bounce.
Purchases: Applications picked up too, reaching their strongest levels since early 2023.
Bottom line: Clark County buyers and homeowners are moving quickly when opportunity opens.
What This Means for You
Buyers: Even with the bounce, today’s rates are still lower than most of the past 12 months. Inventory is slowly improving in Clark County, and now is a good time to focus on payment comfort, negotiation leverage, and being pre-approved—not just trying to time the absolute bottom.
Homeowners (Refi): If your rate is well above where we’re at today, it’s time to run numbers. Even a small drop in rate, a shorter term, or consolidating debt can make sense—especially with Clark County’s higher loan balances.
Everyone: Expect more volatility with upcoming inflation and jobs data. Being rate-ready and having a plan (lock-and-shop, refi checkup) means you don’t miss the window.
Quick Recap Timeline
Mon–Tue: Rates touched yearly lows.
Wed (Fed Day): Fed cut 0.25% → rates bounced.
Thu: Strong economic data added pressure.
All week: Mortgage applications surged.
Action Steps
Get your numbers checked: Your personal scenario depends on credit, loan type, and down payment.
If you’re shopping: Ask me about lock-and-shop options that give flexibility in this market.
If you own a home: Let’s run a refinance savings check—sometimes trimming years or consolidating debts is just as powerful as rate savings.
Stay informed: The next few economic reports will be big movers.
Bill Black, Sr. Mortgage Advisor | NMLS #49242
Northwest Funding Group Inc. | billcblack.com
(360) 910-3290 bblack@nwfgi.com