Sales of previously owned homes in the United States fell sharply in August, despite mortgage rates plummeting that month. But much more housing demand will likely be unleashed onto the market after the Federal Reserve finally cut interest rates this week for the first time in four years — and signaled more rate cuts by year’s end.

The Federal Reserve is set to issue its first rate cut since 2020 this week. Here's what it means for mortgage rates.

By ALEX VEIGA, AP Business WriterUpdated Sep 19, 2024 9:35 a.m. The average rate on a 30-year mortgage in the U.S. edged closer to 6% this week to its lowest level since early February 2023. The rate fell to 6.