How does the Federal Reserve’s interest rates affect mortgage interest rates? Historically, when the Fed increases their interest rate, it is likely to cause a mortgage rate increase, but it’s not guaranteed. On occasion, these have gone in opposite directions. The Fed’s rate is only one factor of the economy affecting the daily rise and fall of mortgage interest rates. We are based in Clayton, NC, and frequently help clients in Raleigh, Charlotte, Wilmington, Greensboro, and throughout the beautiful state of North Carolina. We are committed to helping North Carolina residents buy their dream home. For more information on conventional loans, or to apply for a loan, contact Rob Yo The Mortgage Pro at (919) 322-8201 or fill out the form on this page.