Aggressive interest rate cuts by the Fed in 2026 are predicted to lower mortgage rates by outweighing other influencing factors.
"Well, for the rest of 2025, investors have an idea of what the Federal Reserve Bank wants to do. Maybe they'll cut interest rates one, maybe two more times, but it sounds like the Fed wants to be more aggressive with cutting interest rates come 2026. And when you start to see more aggressive interest rate cuts, that could then outweigh some of the other factors that are happening over here. And those more aggressive interest rate cuts can then be enough fuel to pull mortgage rates lower because again, it's the balancing act with these four things that are happening right now."
