Fed Cuts Rates as Employment Softens, But Real Estate Recovery Remains Uncertain Opinion21 hours ago4 min read Following a weakening labor market, the Federal Reserve’s announcement that it will cut interest rates by 0.25% on Sept. 17 comes as welcome relief to the real estate industry, as it hopes it will trigger lower borrowing costs and stimulate homebuying and refinancing. While low employment numbers are never good news, they have given Fed Chair Jerome Powell a legitimate reason to finally take action, as President Donald Trump has been pressuring him to do for months. “The fourth month of subpar employment performance signals a dramatic stall in hiring and fully supports the Fed starting rate cuts at the next meeting,” Nationwide chief economist Kathy Bostjancic said in a Sept. 5 note anticipating the cut. The Fed last lowered rates in December, when it appeared inflation was under control. Despite the worrying employment numbers, inflation remains difficult to tame amid tariffs and could again prove to be a plot spoiler should employment numbers improve. Rate cuts help a struggling labor market by making borrowing costs more affordable for businesses and consumers. However, for the real estate market, the outlook is less certain, as mortgage rates have been steadily falling in anticipation of a rate cut. “The market has really high expectations for the Fed to move quickly, and I think it’s an open question whether the Fed will in fact move that fast,” Danielle Hale, chief economist for Realtor.com, told USA Today. “That does create a situation where interest rates could go up if the Fed doesn’t meet those expectations.”

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So exciting to be building our white wolf pack. 30 percent of buyers are foreign right now. China and Canada lead the way in California. 35 percent of properties are having price reductions. 30 percent cash buyers! It's the best time to sell if you are also purchasing? Let's see who can explain why?