Borrowers Urged to Lock Mortgages as 30-Year Rate Jumps to 6.62% Before Fed Meeting
Updated
Updated · CBS New York · Jun 12
Borrowers Urged to Lock Mortgages as 30-Year Rate Jumps to 6.62% Before Fed Meeting
3 articles · Updated · CBS New York · Jun 12
Summary
6.62% average 30-year mortgage rates on May 30, up from 5.99% a month earlier, have prompted advice for homebuyers and refinancers to act before the Fed meets June 16-17.
Higher inflation readings have pushed rates to their highest since 2023, wiping out near-term cut expectations and reviving the possibility of further Fed tightening if jobs and prices stay strong.
Borrowers are being told to recalculate budgets first, since payments that looked manageable a month or two ago may now require smaller loans or adjustable-rate alternatives.
Shopping multiple lenders and considering a rate lock are the other key moves, because lenders may react differently to inflation data and Fed signals, with some able to raise rates even without an immediate policy change.
The guidance reflects a volatile mortgage market in which Fed commentary can quickly reshape borrowing costs, leaving preparation before the meeting more important than waiting for clarity afterward.