Fed Hikes Rates Again – NMP Skip to main content

Fed Hikes Rates Again

Jun 13, 2018
What is the biggest fear to agitate the mortgage industry? According to a new survey by Genworth Mortgage Insurance, it is the prospect of rising interest rates

For the second time in three months, the Federal Reserve has announced a rate hike.
 
“In view of realized and expected labor market conditions and inflation, the Committee decided to raise the target range for the federal funds rate to 1-3/4 to 2 percent,” said the central bank’s policymaking Federal Open Market Committee (FOMC) in a statement. “The stance of monetary policy remains accommodative, thereby supporting strong labor market conditions and a sustained return to two percent inflation.”
 
The Committee’s unanimous vote marked the Fed’s second rate hike since Jerome Powell became the central bank’s chairman. As with the earlier hike, the Fed made no mention of the housing market in its decision. However, it did state that its future decision would be partially based on “readings on financial and international developments,” which might be seen as a not-subtle hint regarding the tariff policies being pushed by the Trump Administration and the pushback from the nation’s trading partners.
 
“One thing to point out is that there are a lot fewer consumers today whose debt is tied to short-term rates, and because the majority of consumer debt is from mortgages, this means the recent short-term rate hikes will be less impactful than what was seen in the mid-2000s,” said Freddie Mac Chief Economist Sam Khater.

 
About the author
Published
Jun 13, 2018
Strong Jobs Report Threatens Mortgage Rate Rally

October hiring more than doubled expectations, pushing Treasury yields higher

Nov 06, 2026
Fed Holds Rates, But Pricing Pressures Persist

Rising Treasury yields and fresh inflation data complicate rate locks, borrower qualification, and lender margins as markets anticipate another hike in December

Oct 29, 2026
Zippy Adds Capital For Manufactured-Home Lending Push

The $20 million investment from Saluda Grade will support expansion beyond 27 states and new loan products across wholesale, retail, and community channels

Oct 16, 2026
Inflation Hits 3.7%, Putting Mortgage Rate Relief At Risk

September’s inflation pickup puts recent rate improvements at risk, potentially eroding affordability gains from lower home prices and seller concessions

Oct 14, 2026
PLACE Acquires Ardley, Expanding Push To Turn Existing Borrowers Into New Loans

The latest deal connects borrower retention technology with Maxwell's origination platform and PLACE's real estate network, creating new opportunities for lenders

Oct 09, 2026
Equifax, TransUnion Launch New Tools To Cut Credit Report Costs

Both bureaus introduce ways to purchase credit scores separately from reports, while Equifax reports growing VantageScore adoption and extends $1 pricing through 2028

Oct 09, 2026