Chances had dipped slightly to 87.5% by time of writing, and Harris cautioned against assuming that rates will fall sharply and quickly. “If they do start making cuts, I certainly know it will be slow and stable, as they said,” he highlighted.
Lower mortgage rates could offer timely relief for a US housing market that has slumped since borrowing costs began spiking after the COVID-19 pandemic.
Contract closings increased by 2% last month compared with June, the National Association of Realtors (NAR) said this week – but available inventory on the market has surged over the past year, rising by 15.7% to 1.55 million units.
Existing-home sales ticked up 2% in July, reaching an annualized rate of 4.01 million, thanks to lower mortgage rates and slower price growth, according to the National Association of Realtors (NAR).https://t.co/5bjsSNG5P5
— Mortgage Professional America Magazine (@MPAMagazineUS) August 22, 2025
Keller Williams chief economist Ruben Gonzalez said further rate drops were needed to unlock the housing market for many buyers. “Unless mortgage rates move lower and stay there, the housing market will remain slow and regionally uneven, with locked-in sellers and rising inventory limiting both appreciation and the pace of home sales,” he said.