30-year mortgage rate dips to 7.24% as Treasury yields ease
As of Thursday afternoon, the yield sat at roughly 4.98%, down from a peak above 5.30% earlier in October, but still well above the 3.97% level recorded before the US-Iran conflict that began in late February.
3Q GDP came in ahead of forecasts as business spending on data centres and AI infrastructure accelerated. Meanwhile, Mike Fratantoni of MBA notes that inflation remains well above the Federal Reserve’s target, keeping future rate hikes firmly in focus. https://t.co/eTbilrWORE
— Mortgage Professional America Magazine (@MPAMagazineUS) October 29, 2026
What this means for brokers and buyers
Wednesday’s Federal Open Market Committee (FOMC) decision provided the immediate backdrop. Policymakers voted 10-2 to hold the benchmark federal funds rate at its current 3.75%–4% range, and CME FedWatch subsequently placed roughly 80% odds on a hike at the December 8–9 meeting.
Odeta Kushi, deputy chief economist at First American Financial Corporation in Washington, DC, told Mortgage Professional America ahead of the October meeting that a rate hike is no longer unthinkable.
“The more likely story for the second half of the year is volatility around a higher-for-longer range, rather than a meaningful decline in mortgage rates,” she said.
“If inflation remains sticky and investors continue to demand compensation for inflation risk, mortgage rates may stay elevated.”
