The Federal Reserve is expected to raise interest rates by half a percentage point on Dec. 14, 2022, to a range of 4.25 to 4.5%, which would be the seventh increase this year. So far in 2022, the Fed has lifted its benchmark short-term rate, which influences most other borrowing costs in the economy, by 3.75 percentage points from a low of about zero as recently as March.
But even as the U.S. central bank continues to lift rates – and plans to keep doing so in 2023 – homebuyers are beginning to notice a pleasant surprise: Mortgage rates have been falling.
