The Federal Reserve is expected to cut interest rates next week — with markets placing a 99.9% probability on the decision. For homebuyers and sellers in Columbus, Ohio, that could signal the start of a more favorable lending environment heading into late 2025 and early 2026.
According to mortgage expert Rich Cercone of Equitable Mortgage, “Rates are holding steady in the low sixes, but if the Fed says the right things next week, we could see mortgage rates drop into the fives.”
Even with the federal government partially shut down and some key data delayed, indicators like the 10-year Treasury yield — now holding below 4.0% for the first time in months — suggest that mortgage rates are trending downward.
Why the Fed’s Next Move Matters
Markets have already “priced in” a rate cut, meaning the real impact will depend on what Fed Chair Jerome Powell communicates. A shift toward quantitative easing (loosening policy) could accelerate lower rates across the board, improving affordability for both first-time buyers and move-up buyers in Columbus.
Lower rates could unlock pent-up demand from buyers who’ve been waiting for affordability to improve — and could motivate more homeowners to list their properties as financing becomes easier.
Home Equity: The Key to Moving Up
One major theme in the discussion was how homeowners with large equity positions can prepare for their next move.
Rich recommends securing a home equity line of credit (HELOC) before you list your current home. “If you think you might sell in the next year, go to your bank and get a HELOC for as much as they’ll give you,” he says. “You can use it like a bridge loan for your down payment on your next home — giving you flexibility when the right opportunity comes up.”
Without that preparation, many sellers find themselves stuck — unable to access their equity quickly enough to make a competitive offer on a new property.
The Columbus Market Is Heating Up
Despite the national uncertainty, buyer demand in Central Ohio is picking up.
Jamie from Sell For 1% reports that his listings are seeing more showings and even multiple offers in select neighborhoods. “Some homes are still selling in a weekend,” he says, “while others are taking longer — it depends on pricing and location. But overall, activity is increasing.”
As mortgage rates edge down, more buyers are reentering the market, and sellers are gaining confidence that their homes will sell at strong prices.
The Bottom Line
If rates move into the mid-to-high 5% range as expected, the Columbus housing market could see a surge in transactions through the end of 2025.
Thinking about buying or selling?
Now is the time to plan your next move before competition ramps up.
Contact Sell For 1% Realtors at 614-451-6616 or visit SellFor1Percent.com to get full-service representation for just a 1% listing commission — and keep more of your equity where it belongs: in your pocket.
