Today’s election results could have an impact on home mortgage interest rates, depending on the winning candidates’ policy stances. Mortgage rates are strongly influenced by inflation, the Federal Reserve’s interest rate decisions, and market sentiment. If new leadership is expected to enact policies that increase spending or raise government debt, for example, it could drive up inflation expectations, pushing the Fed to maintain or even raise rates. Conversely, if the outcome suggests more conservative spending, the Fed might hold or ease rates sooner, possibly stabilizing mortgage rates.
It will likely take days or weeks for any direct market impact to show in mortgage rates.
