Insider Discussion – The Fed Is Lowering Rates But There’s a Catch!

Insider Discussion – The Fed Is Lowering Rates But There’s a Catch!

The Fed is lowering interest rates! That’s good news, right? Well… hold your horses.

Yes, it looks like the Fed will lower rates in September, but here’s the catch: mortgage rates often move ahead of the Fed. Over the last few months, rates have already slid from around 7% down to 6.5% in anticipation of this move. That means you probably won’t see much change at the mortgage desk—at least not right away. Now, if the Fed keeps cutting through the rest of 2025, that’s when we could see more meaningful drops, possibly at the start of the new year. In the meantime, buyers still have opportunities, but don’t wait on big swings that might not come. For more updates and market insights, check out our blog at HoosierHomeListings.com.

I hope this information was helpful! If you are considering buying or selling a home, I would love to talk to you. I am a seasoned agent with over 24 years of experience in the local real estate market. I would love to be able to get you the financial result you desire from your current home to get you in to that Dream Home! Don’t hesitate to call me anytime at 260-579-1516 or you can email me at mike@mikearchbold.com.

The Fed is Lowering Interest Rates! What Does It Really Mean for Homebuyers?

The headlines sound exciting: “The Fed is lowering interest rates!” If you’re thinking about buying a home, your first thought is probably that mortgage rates are about to take a nosedive. But before you start celebrating, let’s break down what’s really happening.

Why Mortgage Rates Don’t Always Follow the Fed Immediately

The Federal Reserve plays a big role in the economy, but mortgage rates aren’t tied directly to the Fed’s decisions. Instead, mortgage rates often move ahead of the Fed because markets anticipate what’s coming.

That’s exactly what we’ve seen over the past few months. Mortgage rates have already fallen from around 7% to roughly 6.5%—not because the Fed has acted yet, but because lenders and investors expected this September rate cut. In other words, the “good news” might already be baked into the cake.

What Buyers Should Expect Next

So, what does this mean if you’re planning to buy a home this fall?

• Short-term: Don’t expect much more movement right away. The cut in September likely won’t bring an immediate drop in mortgage rates.
• Long-term: If the Fed continues lowering rates into late 2025, we could see more meaningful mortgage rate declines in early 2026. That’s when homebuyers may benefit from more noticeable savings.
• Today’s reality: Rates are still historically reasonable, and inventory has grown significantly. That means buyers have more options—and more negotiating power—than they did just a year or two ago.

The Bottom Line

Lower Fed rates are a good sign, but they don’t always translate into instant mortgage relief. If you’ve been waiting for the “perfect” time to buy, don’t hold out for a massive drop that might not come soon. Instead, focus on finding the right home, negotiating smartly, and locking in a rate you’re comfortable with.

Want to stay on top of market updates, interest rate trends, and what they mean for buyers and sellers here in Fort Wayne? Be sure to check out more insights right here on HoosierHomeListings.com.

Michael J Archbold
Associate Broker, REALTOR, ePro
RE/MAX Results
8101 Coldwater Rd
Fort Wayne, IN 46825
c. 260-579-1516
e. Mike@MikeArchbold.com
w. www.MikeArchbold.com

Oh, by the way… if you know of someone who would appreciate the level of service I provide, please call me with their name and business number. I’ll be happy to follow up and take great care of them. 

Why Does RE/MAX Results Stand Out Among the Competition?

Simply put: Relationships. We pride ourselves not only in our professional service but more importantly in the personal touch we bring to our business. Has an agent/lawyer/contractor/vendor ever treated you like you were just another paycheck? The reason our clients come back time and again and refer all their friends and family to us is because they know we are part of the family.

Genuinely caring about the people we serve enables us to do things other agencies can’t. Rest assured, we will ALWAYS have your best interest at heart and work vigorously to get you the best deal possible on your home or business. The relationships we build with our clients enable us to work 100% by referral.

The reason we are able to give top notch service to our clients is because our clients refer us a constant stream of quality family and friends to assist in their real estate needs. While other agents are out making cold calls and chasing “potential” leads, we are freed up by our referral base to service our clients like no other broker can. We are never too busy for your referrals!

Want to experience the difference for yourself? Call or text me today at 260-579-1516.

“Professional Service with a Personal Touch“

We’re Here To Help

Are you or someone you know considering a home purchase? Don’t hesitate to call or text me, Michael Archbold, at 260-579-1516 and I will connect you with the best mortgage professionals in the business who can get you your score, discuss ways to improve it if necessary, and put you on the path to home ownership. Click here to read more about our Buyer Services. Click here to browse listings NOW! Looking to sell your home? Call today to set up an appointment to begin developing your customized marketing plan. Click here to read more about our Seller Services.

Hoosier Home Listings by RE/MAX Results is a full service real estate Web site serving Northeast Indiana. We assist residential and commercial clients in locating, buying, and selling real property in the State of Indiana including but not limited to the counties of Allen, Huntington, Wells, Adams, Whitley, Wabash, Kosciusko, Noble, Dekalb, Lagrange, Steuben and cities including Fort Wayne, Decatur, Bluffton, Huntington, Warsaw, Columbia City, Butler, and Angola. RE/MAX Results is an Equal Housing Opportunity company.

Hoosier Home Listings – Insider Discussion – The Fed Is Lowering Rates But There’s a Catch! …

… brought to you by Michael Archbold, Hoosier Home Listings, and RE/MAX Results.

The consummate professional, Michael Archbold (Associate Broker, REALTOR, ePro) brings a diversified background to the world of real estate. Born and raised in Fort Wayne, Mike graduated Wayne High School in 1992. He received bachelors degrees in Accounting in 1997 from Indiana University and Information Technology in 2005 from Indiana Wesleyan University. Mike comes to Re/MAX with more than 20 years of experience in sales and accounting. He began his career in real estate in 2000 as an investor.