Mortgage Rates, Jackson Hole, and San Jose Gas Line Permits

Jackson Hole wrapped up on Friday, and for the first time this year, Chairman Powell hinted at a softer stance toward a September rate cut. Rates immediately reacted in a way that benefits consumers. So as a quick follow-up to last Tuesday's update, if you’re in the market for a home or thinking about refinancing, this window from now through early to mid-September looks like a great time to act.

Why not wait until later in September? Because rates move in real time and often in anticipation of what’s ahead. By mid to late September, things could look very different. Powell did note that cuts are tied to the job market. If September’s employment data comes in strong alongside rising inflation, what he said in Jackson Hole could quickly shift. And as a buyer, the best time to move is often when the market is quiet. Rate cuts can spark demand, and a half-point cut might not be enough to balance out a price jump of $150,000 or more.

On a local note, here’s something interesting I just learned. Over the past couple of weeks, I’ve been talking with contractors and plumbers, and it turns out the City of San Jose has been a little more flexible lately with gas line permits. That means if you’ve been considering switching from an induction or electric stove to gas, it’s easier to get it approved right now. But starting next year, the city plans to tighten those restrictions again. So if you or someone you know has been thinking about making the switch, it’s worth getting it done before the year ends. If you need a recommendation for a good contractor, I’m happy to connect you.