This is a YouTube video titled "The Fed Announced Rate Cuts for 2024! 📉" containing a commentary or analysis about Jerome Powell's recent Federal Reserve announcement on interest rates and its impact on mortgage rates and real estate affordability, created in December 2023.
Jerome Powell brought the house down yesterday. So the Fed was scheduled to meet yesterday. And just as planned, Jerome Powell spoke. But normally these are like athletes in a post game press conference. Very scripted, they don't get you far off track. But Jerome Powell said quite a bit. So although we're still in quarter four, we can't see the results of the economy. He mentioned for what he can see. The economy's really slowed down. Really good for mortgage rates. He also mentioned that he thinks interest rates have already hit their peak. Also really good for mortgage rates. And the Fed collectively agreed that they think there's going to be three Federal Reserve rate cuts in 2024. They would only do this if they feel that inflation is under control. We've talked all year about how as soon as we get good news on inflation, mortgage rates will follow suit and start plummeting lower. And they've started to do that. They dropped a quarter percent yesterday alone. A huge one day change. This makes real estate more affordable as rates drop. But keep in mind, this will shoot home prices higher. We'll keep navigating you through every step along the way.
