Raleigh Mortgage Rate Update: Inflation, Interest Rates, and What It Really Means for Your Buying Power

Raleigh Mortgage Rate Update for October 24, 2025, by Martini Mortgage Group

This Week’s Raleigh Mortgage Rate & Market Snapshot

The ongoing government shutdown has delayed some key economic data releases — but one critical report made it through: the September Consumer Price Index (CPI). This report not only drives the Fed’s next policy decision but also determines the Social Security cost-of-living adjustment for millions of Americans.

Here’s what it means for Raleigh mortgage rates, homebuyers, and Raleigh’s housing market.

Inflation Update: Core CPI Eases to 3%

The Bureau of Labor Statistics (BLS) reported that overall inflation rose modestly, holding steady at 3% year-over-year. Core CPI — which excludes food and energy — also landed at 3% annually, slightly better than many analysts expected.

While inflation remains above the Fed’s 2% target, the trend is moving in the right direction.

💡 Logan Martini Insight: Cooling inflation gives mortgage markets breathing room. Lower inflation typically leads to lower bond yields, which can help ease mortgage rates — even before the Fed acts.

Fed Outlook: Another Cut Expected October 29

The Federal Reserve faces a balancing act: cooling inflation without stalling economic growth.

Markets now expect another quarter-point rate cut at the October 29 Fed meeting, following the cut in September. The move aims to support the economy amid softer labor conditions and lingering inflation pressures.

Remember: the Fed adjusts the Federal Funds Rate, not mortgage rates directly. But the ripple effect of Fed policy — combined with investor expectations — heavily influences the bond market, which sets the tone for mortgage pricing.

Housing Market: Inventory Climbs to a 5-Year High

August to September, up 4.1% from a year ago. Inventory increased to 1.55 million units, matching a five-year high, though still below pre-pandemic levels.

Because these closings reflect contracts signed in July and August — before mortgage rates began to ease — we may see stronger sales activity in the coming reports.

💡 Logan Martini Insight: More homes. More leverage. More opportunities for strategic Raleigh buyers to negotiate better prices and terms.

Why Raleigh Real Estate Still Builds Wealth in 2025

Even with rate fluctuations, Raleigh remains one of the most resilient and opportunity-rich housing markets in the country.

Here’s why:

• Strong local economy: The Triangle’s job growth in tech, healthcare, and education continues to fuel housing demand.
• Appreciation potential: Historically, Raleigh homes have appreciated faster than the national average.
• Affordability advantage: Median household income (~$105,000) vs. median home price (~$531,000) remains one of the most balanced ratios among major metros.

Homeownership isn’t just about rates — it’s about equity growth, tax advantages, and long-term wealth stability.

The Fiduciary Approach

Most lenders sell rate sheets. We build strategies.

At the Martini Mortgage Group, our fiduciary approach means we:

• Advise clients based on long-term financial goals, not sales quotas.
• Provide Same-As-Cash Mortgage Approval to give buyers a competitive edge.
• Design mortgage plans that align with your total financial picture — not just the next 30 days.

This is what separates a fiduciary mortgage advisor from a traditional lender. It’s the difference between buying a rate and building a strategy.

How Inflation and the Fed Affect Your Raleigh Mortgage Rate

Inflation determines the long-term cost of borrowing. When inflation rises, lenders demand higher rates to protect their yield. When inflation cools — like we saw this week — mortgage rates can begin to ease.

Even if the Fed cuts short-term rates on October 29, mortgage rates might not immediately follow, because they respond to investor expectations, not Fed actions alone.

That’s why smart homebuyers use Same-As-Cash Mortgage Approval — it gives you flexibility to act the moment the market shifts in your favor.

(Learn more about the Fed and mortgage rates in our North Carolina Mortgage Guide)

The Logan Martini Takeway

Markets rarely give clear signals — but right now, they’re hinting at opportunity.

Inflation is stabilizing. The Fed is signaling cuts. Raleigh housing inventory is improving.

If you’re a first-time buyer or move-up homeowner, this is your window to plan, prepare, and position yourself for the next phase of the market.

Clarity always beats timing.

TL;DR — Raleigh Mortgage Rate Update: Inflation, Interest Rates, and What It Really Means for Your Buying Power

• Inflation held steady at 3%, and Core CPI matched at 3%, signaling continued progress toward price stability.
• The Federal Reserve is expected to announce another quarter-point rate cut on October 29, following September’s adjustment — a move designed to balance inflation control with economic support.
• Mortgage rates may begin to ease as markets price in future cuts, offering renewed opportunities for Raleigh homebuyers heading into November.
• Housing inventory climbed to a five-year high (1.55M units nationwide), giving buyers more choice and negotiating power.
• Home values in Wake County are forecasted to rise 19.11% over the next five years, underscoring why waiting can cost more than acting strategically.
• Bottom line: Preparation beats prediction. With a Same-As-Cash Mortgage Approva and fiduciary-style guidance from the Martini Mortgage Group, you can capitalize when rates move — not chase them after they do.

Logan Martini

Born in Florida and raised in Raleigh, Logan holds a BS in Economics from East Carolina University. He prefers to call himself a “mortgage strategist” rather than a typical loan officer or just a Raleigh mortgage broker because he helps families build wealth through the right mortgage, not just by getting a loan.

Logan’s core promise: clarity, certainty, and a lifelong partnership. After you close, he continues to monitor your mortgage and the market to ensure you don’t miss any opportunities.

Logan Martini | NMLS 1591485 | Senior Mortgage Strategist & Raleigh Mortgage Broker | Martini Mortgage Group at Gold Star Mortgage Financial Group, Corporation | NMLS # 3446 | 507 N Blount St, Raleigh, NC 27604 | (919) 238-4934 | www.MartiniMortgageGroup.com | Logan@MartiniMortgageGroup.com | Equal Housing Lender