Mortgage Rates Unaffected by Fed's Pause, Set to Rise

The Federal Reserve's decision to pause rate hikes offers no relief for homebuyers as mortgage rates remain high, according to Freddie Mac. The average 30-year fixed-rate mortgage increased to 7.19%, while the average rate for a 15-year mortgage was 6.54%. The Fed's monetary policy has put pressure on the housing market, with one in seven homeowners opting out due to higher rates. This has led to a slowdown in mortgage lending and a decline in builder sentiment. The Fed indicated that further rate increases are possible, and it is committed to bringing inflation down to a 2% target rate. Mortgage rates are not expected to fall below 6% anytime soon, according to the Mortgage Bankers Association. Homebuyers can save by shopping around for the best mortgage rate and improving their credit profile.