There's another Federal Reserve meeting on the calendar this month, but will mortgage rates fall once it's over?

Mortgage Research Center. Rates averaged 5.22% for a 15-year financed mortgage and 5.92% for a 20-year financed mortgage Related: Compare Current Refinance Rates 30-Year Refinance Rates Drop 1.35%

Federal Reserve Governor Stephen Miran calls for aggressive interest rate cuts, arguing current policy is too restrictive and holding back economic growth.

See how low your current mortgage rate offers are here.

Williams is one of many Fed officials who have said the central bank can afford to wait for more data before considering whether to lower interest rates again.

The divergence of opinion on the future of monetary policy is likely to only grow in 2026 as Fed Chairman Jerome Powell reaches the end of his leadership in May. Powell could decide to stay on as a governor, but he has given no indication he would do so and he is a frequent target of criticism from President Donald Trump.

As of Jan. 7, 2026, the average home equity loan rate is 7.97%, according to Bankrate’s regular survey of rates. The average range is between 5.49% and 10.75%. Home equity loan interest rates also vary according to term length:

The federal budget deficit and expectations for inflation are the main drivers of long-term interest rates. Despite these and other realities, the facts about interest rates can often be overshadowed by the predominant sound bites of the day,