By Aradhana Bhandary, REALTOR®, CA DRE 02121126, serving Fresno, Clovis, Madera, Visalia and the Central Valley. Published September 18, 2026.
The Federal Reserve raised its benchmark interest rate on September 16, 2026, but that does not mean every mortgage rate automatically increased by the same amount. The Federal Open Market Committee raised the target range for the federal funds rate by 0.25 percentage point, bringing it to 3.75% to 4.00%, saying inflation remained elevated and that the increase was intended to support a return to its 2% inflation goal.
No. The Federal Reserve does not directly set consumer mortgage rates. It sets a short-term benchmark called the federal funds rate. Fixed mortgage rates are influenced by Treasury yields, inflation expectations, economic data, investor demand for mortgage-backed securities and expectations about future Federal Reserve policy. That is why a quarter-point Fed increase does not necessarily produce an identical quarter-point increase in a 30-year mortgage rate. Mortgage markets often begin reacting before a Fed announcement, based on what investors expect.
Freddie Mac reported that the national average rate for a 30-year fixed mortgage was 6.95% as of September 17, 2026, higher than the prior week's average of 6.76%. The national average for a 15-year fixed mortgage was 6.26%, up from 6.09% the week before. These are national weekly averages, not a quote for a particular borrower. An individual rate depends on the lender, loan type, credit profile, down payment, property, points and the date and time the rate is locked.
Recheck your purchasing power, because a change in the mortgage rate can alter the monthly principal-and-interest payment and the price range a buyer can comfortably afford. Buyers preapproved before the September announcement should ask their lender to update the numbers, including principal, interest, property taxes, homeowners insurance, any mortgage insurance and applicable homeowners association dues. Compare complete loan offers by annual percentage rate, lender fees, discount points, cash required at closing and whether the quoted rate is locked. Consider the full transaction, since buyers may be able to negotiate on price, repairs, closing costs or seller-paid financing concessions depending on the property and level of competition, subject to loan program and lender requirements. A temporary or permanent rate buydown may be worth evaluating against a price reduction or closing-cost credit, and a lender can show the break-even point. Avoid trying to predict the perfect day, because rates move with inflation reports, employment data and Treasury-market movements. See /calculator to estimate a payment.
Higher borrowing costs can reduce some buyers' purchasing power, which makes accurate pricing and strong presentation more important. Sellers should watch recent comparable sales in the immediate area, active competing listings, price reductions and days on market, the home's condition and presentation, and whether a permitted seller credit could strengthen an offer. This does not mean every Fresno or Clovis home must be discounted. It means the asking price should reflect current buyer behavior, not an older market with different financing conditions. See /selling-a-home-in-fresno.
There is no universal answer. Waiting may be appropriate for a buyer who needs more savings, stronger credit, lower debt or greater income stability. Moving forward may still make sense for a buyer who finds the right property, can afford the complete monthly payment, has adequate reserves and expects to own the home long enough for the purchase to fit a broader financial plan. Refinancing may be possible later if market rates decline and the borrower qualifies, but it is never guaranteed, so a purchase should work based on today's terms.
Request an updated preapproval using current rates. Ask for the total estimated monthly payment, not only principal and interest. Compare loan estimates from more than one qualified lender. Review the cost and break-even period of any points or rate buydown. Set a payment ceiling before touring homes. Evaluate each property and negotiation opportunity individually. New to the area? See /moving-to-fresno and /fresno-clovis-madera-first-time-home-buyer-guide.
The September 2026 Fed increase is important, but it is not a reason to make a rushed decision or abandon a well-planned move. For Fresno and Clovis buyers, the immediate task is to update the financing numbers. For sellers, it is to price and position the home for the purchasing power buyers have now. Aradhana Bhandary, REALTOR®, can help you evaluate the real estate side of the decision and coordinate with a qualified lender for current financing information. Contact at /about-aradhana#contact.
Federal Reserve FOMC statement of September 16, 2026, and the Freddie Mac Primary Mortgage Market Survey. This article is for general informational purposes and is not financial, tax or lending advice. Mortgage rates and loan terms change and vary by borrower. Consult a qualified lender and appropriate financial or tax professionals before making a decision.