Mortgage Rates Inch Toward 6% as Fed Weighs October Cut

Mortgage rates fell for the fourth consecutive week, finally nearing 6% for the first time since September 2024.

Lenders and analysts have been anticipating that the Federal Reserve will announce another quarter-point cut to the federal funds rate at their Oct. 28-29 meeting. Central bankers will make their decision with limited information, as official data like the September jobs report haven’t been released amid the ongoing government shutdown.

The average 30-year fixed mortgage rate fell four basis points to 6.04% APR in the week ending Oct. 23, according to rates provided to NerdWallet by Zillow. A basis point is one one-hundredth of a percentage point.

Some central bankers favor another rate cut

Fed Governor Christopher Waller said he supports further cuts to the federal funds