The aggressive start to its rate-cutting cycle signals policymakers’ intention to maintain a “solid labor market,” Powell remarked

Scott Olson, executive director, Community Home Lenders of America “Today’s interest rate cuts are critical in creating a more affordable housing environment, particularly for first-time and low-to moderate-income homebuyers.”

A historic rise in home prices and nearly three years of high mortgage rates have put housing issues front and center in the 2024 presidential campaign. Kamala Harris has outlined an ambitious vision for housing that would involve the construction of 3 million new homes in four years.

If Donald Trump wins a second term in the White House, he’s going to attempt to return Fannie Mae and Freddie Mac to private status after more than 16 years under federal conservatorship. That’s according to Mark Calabria, the former head of the Federal Housing Finance Agency (FHFA) under Trump.

The spread on mortgage-backed securities (MBS) trouble many industry professionals, and at a recent D.C. roundtable discussion, it spurred an interesting back-and-forth about the degree of risk being absorbed by Fannie Mae and Freddie Mac.