The Fed Raised Rates in September 2026: What Santa Clarita Buyers and Sellers Should Know

What the Fed Actually Did on September 16

The Federal Open Market Committee voted 12-0 to raise the federal funds rate by a quarter point, to a target range of 3.75% to 4.00%. It was the first rate increase since 2023, and the Fed pointed to stubborn inflation, made worse by a rebound in oil prices, as the reason. Chair Kevin Warsh said the central bank will “deliver price stability,” and policymakers signaled that one more hike is likely before the end of 2026. Markets took the news in stride early, then finished the day lower, with the Dow sliding more than 600 points in the final hour.

Here is the distinction that matters for homeowners: the Fed's short-term rate is not the mortgage rate you are quoted. Mortgage rates follow long-term bonds and investors' expectations about inflation. The Fed's move reinforces the higher-for-longer rate story that bond markets had already been pricing in for weeks, which is why mortgage rates kept climbing after the announcement rather than settling.

Mortgage Rates Are Now Firmly Above 7%

Freddie Mac's weekly Primary Mortgage Market Survey, released September 17, 2026, put the U.S. average 30-year fixed rate at 6.95%, up from 6.76% the previous week and its highest level since January 2025. It was the fourth straight weekly increase. The 15-year fixed rate followed the same path, rising to 6.26% from 6.09%.

Daily rate trackers moved even higher as the week went on. By Monday, September 21, national daily averages for the 30-year fixed rate were running around 7.01% on one widely followed index and roughly 7.09% to 7.25% on another. The practical takeaway: we are no longer talking about a brief brush with 7%. Rates are sitting there, and planning around the high 6s to mid 7s is the honest way to approach the rest of 2026.

The Freshest Market Data: California Sales and Prices Rose in August

Here is the part that does not make the evening news: the California Association of REALTORS' August report, released the same week as the Fed decision, showed sales and prices still rising. The statewide median existing single-family home price reached $901,420, up 1.6% from July and slightly above a year earlier. Existing-home sales came in at a seasonally adjusted annualized pace of 269,620, up 2.4% from July and 1.4% year over year. C.A.R. also noted that active listings were below year-ago levels in nearly three-fourths of California counties, and its full-year forecast still calls for a record statewide median near $905,000 in 2026.

In other words, the housing market absorbed a full season of higher rates and kept moving. That does not mean every home sells quickly or at any price. It means the market is balanced, and balanced markets reward thoughtful preparation. For Santa Clarita specifically, local medians continue to run in the high seven to low eight hundred thousand range depending on the source and neighborhood, with competition strongest on the homes that are priced and presented well.

What This Means for Buyers

A rate near 7% raises your monthly payment compared with a year ago, so the first step is to re-run your numbers with a current quote, not the payment you calculated in June. Here is what I tell buyer clients in a week like this one:

• Shop lenders, not just houses. Quotes vary meaningfully between lenders on the same day. Compare Loan Estimates side by side, including fees, not just the headline rate.
• Ask about points and buydowns. Paying points to buy down a rate, or choosing a temporary 2-1 buydown, can lower your payment in the important early years of ownership.
• Look for assumable loans. FHA and VA mortgages originated in the lower-rate era can sometimes be assumed by a qualified buyer, capturing the seller's rate. In a 7% market, this is one of the smartest strategies available, and I offer a free assumable mortgage analysis to see if it applies to a home you are considering.
• Remember refinancing. Rates move in cycles. A home you can afford today still builds equity while you wait for a better rate window.

Buyers in Santa Clarita still hold real advantages: inventory is healthier than a year ago, homes are spending more time on market, and sellers are more willing to negotiate on price, terms, and concessions. A balanced market plus a rate you can live with can still add up to a sound purchase. The danger is freezing at the headline and waiting for a perfect rate that may not arrive this year.

What This Means for Sellers

For sellers, the message is unchanged but more important than ever: pricing and presentation win in this market. When rates rise, buyer purchasing power shrinks, and homes that are dated, overpriced, or thinly marketed sit longer. The homes that sell are the ones priced against real recent comparable sales, staged and photographed professionally, and marketed to the broadest possible audience, including VA buyers, cash buyers, and relocating families.

If you are thinking about selling, the smart move is not to guess the market but to get a current, data-driven pricing strategy. I prepare a customized market analysis for every property I list, built on real comparable sales, your home's condition, and your neighborhood's specific demand. That is the Silver Standard: honest pricing guidance, proactive communication, and a plan built around your goals, not a quota.

A Clear Advantage for Veterans

For veterans, service members, and their families, this rate environment is far less daunting than the headlines suggest. VA loans still offer zero down payment, no private mortgage insurance, and rates that are often among the most competitive available, and the VA funding fee is tax-deductible starting in tax year 2026. The VA Home Loan Reform Act, signed in July 2026, also permanently authorized veterans using a VA loan to pay a buyer agent commission, so veteran buyers keep full representation without bending the budget. In a rising-rate market, the veteran home loan remains one of the strongest paths to ownership in California.

Assumable VA and FHA loans deserve special attention right now. If a current owner's mortgage carries a rate well below today's market, a qualified buyer may be able to take over that loan and lock in a far lower payment. My free assumable mortgage analysis walks through whether this could save you money on your next home. Start it at silver-rate-edge.base44.app. No cost, no obligation, just clear math.

Service Before Self: Reading the Headlines With Clarity

There is a reason I answer the phone with Service Before Self. Real estate is about people, not just properties, and nothing about a rate decision changes the life behind the transaction. A veteran family moving on orders, a first-time buyer renting month to month, a widow ready to downsize: each of them reads the same headline and hears something different. My role is to translate the noise into a clear plan for their specific situation.

I Am the Silver Lining of Real Estate when the news feels heavy. Educated decisions create better results, and that has never depended on where rates sit. Whether we are talking 6.5% or 7.25%, the families who succeed are the ones who understand their numbers, their timeline, and their options before they sign.

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