WASHINGTON, D.C. — The Federal Reserve is scheduled to meet on June 16 and June 17, 2026. According to the CME Group's FedWatch tool, there is a 99% likelihood that the central bank will keep its benchmark interest rate unchanged during the meeting.
The Fed’s current target range for the federal funds rate stands at 3.50% to 3.75%. The central bank has not cut interest rates since December 2025, maintaining a steady policy stance through early 2026.
Mortgage interest rates rose during the first half of 2026 despite the Federal Reserve not implementing an official rate hike that year. As of spring 2026, average 30-year mortgage interest rates for purchase loans are approximately 6.5%, more than half a percentage point higher than in December 2025. This illustrates that mortgage rates can move independently of the Fed’s official policy decisions.
Mortgage interest rates declined by about one percentage point over the course of 2025. Current rates remain lower than those seen between 2023 and 2025. Some qualified borrowers can still secure mortgage rates below 6% as of June 2026, though doing so may require a good-to-excellent credit score, comparison shopping among lenders, and in some cases, opting for an adjustable-rate mortgage.
Lenders could adjust mortgage rate offerings based on signals from Federal Reserve officials during their post-meeting press conference following the June 16–17 gathering. If policymakers indicate that elevated interest rates are expected to persist for an extended period, lenders may respond by raising mortgage rates even without a formal change to the federal funds rate.
Borrowers considering home purchases or refinancing may choose to lock in their mortgage interest rate to avoid potential increases. Rate locks allow individuals to proceed with loan applications without waiting for more favorable conditions that may not materialize.