BiggerPockets Money Podcast · Friday, October 2, 2026
Jay Scott highlights that market interest rates, such as the 10-year Treasury yield, have reached highs not seen since 2007, surpassing the Fed's direct control. He attributes this to structural economic issues, including excessive money printing, inflation concerns, and geopolitical risks, leading investors to demand higher returns.
“But what we're seeing is that these rates are starting to get out of the hands of the Fed. The 10-year treasury rate, and I don't know when this is going to be released, but the day that this is being recorded, the 10-year treasury rate, which is the thing that impacts mortgage rates the most, hit a high since July of 2007.”
“Basically, mortgage rates are likely to go over 7.5% over the next couple of days. Those are rates that the Fed is trying and the Treasury is trying to control. They're buying a lot of long-term bonds to try and bring those rates down.”
“There are a lot of structural issues in the economy, too much money printing, not enough demand for certain types of bonds, concerns over inflation, concerns over geopolitical risks, concerns over government that are driving rates up that, again, that may be out of the control of the Fed and the Treasury at this point and are kind of at the whims of the market.”