Friday saw mortgage rates move back up near the highest levels of the week, and thus the highest levels of the past 3 months. Thus ends another week where mortgage rates end higher despite a Fed rate cut. We've beaten this horse to death, but here are the two key reasons Fed rate cuts don't necessarily result in lower mortgage rates, in as few words as possible:  Different Kinds of Rates Fed Funds Rate = loans of 24 hours or less.  Mortgage rates = loans up to 30 years.  Rates can have vastly different behavior when they apply to loans of vastly different time frames Vastly different levels of timeliness Fed only meets to consider rate cuts 8 times a year whereas mortgage rates move daily.  As such, mortgage rates can get in position well in advance of the Fed actually cutting. All told, this week's Fed announcement had only a small, temporary impact on financial markets, and it was completely reversed on Friday. In contrast, the upcoming week actually has significant new market movers. These include Retail Sales for October, CPI inflation data for November, and the much-anticipated November jobs report (as well as half of the October jobs report). Unlike the Fed rate cut, markets can't accurately predict how these reports will come out. If they're mostly stronger than expected, rates will break up and out of their recent range. If the reports are weaker, rates should retreat back down into that same range.

December 12, 2025 Download our Mobile App: Download our Mobile App: 30 Yr. Fixed 6.32% +0.06%   6.13% 7.26% 15 Yr. Fixed 5.77% +0.01%   5.6% 6.59% 30 Yr. Jumbo 6.43% +0.01%   6.1% 7.45% Compare Mortgage Rates from Local Lenders for Dec 12, 2025 Anyone Who Tells You They Know What Happens Next For Rates is Lying Fri, Dec 12, 2025 4:18PM Friday saw mortgage rates move back up near the highest levels of the week, and thus the highest levels of the past 3 months. Thus ends another week where mortgage rates end higher despite a Fed rate cut. We've beaten this horse to death, but here are the two key reasons Fed rate cuts don't necessarily result in lower mortgage rates, in as few words as possible:  Different Kinds of Rates Fed Funds Rate = loans of 24 hours or less.  Mortgage rates = loans up to 30 years.  Rates can have vastly different behavior when they apply to loans of vastly different time frames ... (read more) Mortgage News Daily Rate Change Points 30 Yr. Fixed 6.32% +0.06 0.00 15 Yr. Fixed 5.77% +0.01 0.00 30 Yr. FHA 5.90% +0.02 0.00 30 Yr. Jumbo 6.43% +0.01 0.00 7/6 SOFR ARM 6.01% +0.06 0.00 30 Yr. VA 5.92% +0.02 0.00 Updates Daily - Last Update: 12/12 Freddie Mac Rate Change Points 30 Yr. Fixed 6.22% +0.03 0.00 15 Yr. Fixed 5.54% +0.10 0.00 Updates Weekly - Last Update: 12/11 Mortgage Bankers Assoc. 30 Yr. Fixed 6.33% +0.01 0.60 15 Yr. Fixed 5.71% -0.02 0.64 30 Yr. Jumbo 6.46% +0.06 0.35 Updates Weekly - Last Update: 12/10 UMBS 30YR 5.0 99.27 -0.10   95.05 100.11 UMBS 30YR 5.5 100.99 -0.09   97.47 101.40 10 YR Treasury 4.180 +0.024   3.932 4.780 Choose Your Own Market Movement Adventure. Fri, Dec 12, 2025 9:41AM There's a noticeable divergence between long and short term bonds since the Fed announcement, and it's becoming more pronounced today.  We can consider a few different reasons with the most basic being that the Fed rate cut outlook keeps shorter-term yields locked down at lower levels thus forcing the long end of the curve to absorb more of the selling ... (read more) MBS Price Change UMBS 4.5 97.09 -0.23 UMBS 5.0 99.27 -0.10 UMBS 5.5 100.99 -0.09 GNMA 4.5 97.02 -0.23 GNMA 5.0 99.46 -0.10 GNMA 5.5 100.77 -0.07 Pricing as of: 12/12 9:23PM EST US Treasury Yield Change 2 YR Treasury 3.523 -0.018 5 YR Treasury 3.742 +0.001 7 YR Treasury 3.943 +0.022 10 YR Treasury 4.180 +0.024 30 YR Treasury 4.842 +0.041 Pricing as of: 12/12 9:23PM EST Other News Correspondent Products, STRATMOR on Borrower Psychology; Lender Tools; DSCR Appraisal Issues in Baltimore Fri, Dec 12, 2025 11:44AM “What happened with the DSCR appraisal issue in Baltimore earlier this year?” Good question. Baltimore is not alone: This week we have investors either pricing themselves out of, or ceasing loans from, the Philly market for certain non-owner loans.) The whole Baltimore thing seems to have quieted down, and up until recently the last news coming in October al... (read more) Latest Video Chicago Fed's Goolsbee: Uncomfortable with front-loading rate cuts assuming... Fed Chair Powell: Housing market faces significant challenges Initial jobless claims comes in at 236,000 for first week of December September wholesale inventories: +0.5% vs. +0.1% estimate Around the Web CNBC Homeowners are losing thousands in equity thanks to weakening prices Marketwatch 'Inflation remains too high.' Two Fed dissenters who rejected latest interest-rate cut explain why. CNBC Credit score average is pretty healthy, VantageScore CEO says but high earners are masking signs of financial distress Calculated Risk Blog Mortgage Rates: The New Normal CNBC Home prices go negative for the first time in over 2 years and may stay that way for a while CNBC Fed's Goolsbee explains vote against rate cut, says central bank should have waited CNBC U.S. Treasury yields move higher as investors digest latest Fed moves Calculated Risk Blog 2nd Look at Local Housing Markets in November Eye on Housing Homeownership Rate Inches Up to 65.3% Calculated Risk Blog Hotels: Occupancy Rate Decreased 3.2% Year-over-year DOL US initial jobless claims up by 44,000 to 236,000 Calculated Risk Blog Trade Deficit Decreased to $52.8 Billion in September Calculated Risk Blog HVS: Q3 2025 Homeownership and Vacancy Rates

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