Mortgage rates are now at their lowest point in months, giving homebuyers and real estate investors some much-needed relief. But it isn’t all good news. With lower mortgage rates comes more market volatility, a weaker job market, recession risks, and new inflation fears. A lot is impacting the housing market, and in a time when nothing seems to make sense, Dave is breaking down the logic behind why mortgage rates are falling even as the Fed pauses.

First, let’s talk about the good news: mortgage rates dropping half a percentage point from their three-month high to hit a new 2025 low. This is great news for buying real estate but may signal a bigger, more substantial economic shift. The bad news? Americans are growing fearful of the economy. A recession seems like it’s still in the cards, unemployment is rising, high-paying jobs are getting terminated left and right, and everything costs more.

With all that taken into account, what should YOU, a real estate investor, do right now to ensure you still build wealth regardless of which direction the market moves? Should you lock down a mortgage rate now or wait for even greater interest rate relief? Stick around; Dave is giving a full analysis of today’s economic state.

In This Episode We Cover

A new 2025 mortgage rate LOW as rates drop below the 7% threshold

Why Americans are pinching pennies and fearing for the economy

Is a recession still possible, or are we close enough to a “soft landing”?

How tariffs, inflation, and job losses (NOT the Fed) are moving mortgage rates

What investors should do NOW if they’re under contract (or will be) for their next property

And So Much More!

Links from the Show

Join the Future of Real Estate Investing with Fundrise

Join BiggerPockets for FREE

Sign Up for the On the Market Newsletter

Find Investor-Friendly Lenders

Dave's BiggerPockets Profile

On The Market 290 - Redfin: Tariff Fears Drive Up Mortgage Rates, Throwing 2025 Off-Track

Consumer Confidence Survey

Consumer Sentiment Index - University of Michigan

Invest in Any Market Cycle with “Recession-Proof Real Estate Investing”

Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/on-the-market-300

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41 Going Direct to Consumer with Lauren Sherman, Chief New York Correspondent, Business of Fashion