 With inflation decelerating, interest rates cuts are widely expected later this year. Traders are predicting a September cut with nearly 100% certainty, according to a CME FedWatch tool. They've already gone down from 7% to 6.87% in the past week, and that is according to the Mortgage Bankers Association. Realtor.com predicts rates will fall to 6.5%, which could result in an average savings of just over $200 per month for the typical homebuyer.