Here's how much a $300,000 mortgage costs monthly now that the Fed cut interest rates

The September Fed rate cut mortgage costs substantially, which could pay off for buyers in today's rate landscape. Caroline Purser/Getty Images

The Federal Reserve's recent decision to reduce its benchmark rate by 25 basis points has triggered a meaningful shift in the mortgage landscape, one that helped to mitigate the high costs of buying a home. In response to the Fed rate cut, 30-year fixed mortgage rates fell to an average of 6.13% , marking the lowest point for mortgage rates in the last three years. That's a welcome change from the rate environment that had dominated much of the past year, when borrowers faced rates that hovered in the 7% range or higher.

The decline in mortgage rates has, in turn, sparked a notable increase in both new mortgage applications and refina