Mortgage rates are starting to come down, but it won’t be good for buyers…
Rates today are starting to hover around the low 6% mark, and we’re likely to see them even lower in Q1 2025, so why isn’t this good news for buyers?
Simply put: the housing supply crisis isn’t going away.
With many buyers on the sidelines right now, we’ve reached a delicate balance where limited housing supply and a smaller pool of active buyers are keeping the market relatively stable. But when rates drop, more buyers will likely jump back in, leading to higher listing prices, bidding wars above asking price, and faster sales with shorter due diligence periods and stricter terms.
For sellers, waiting for rates to drop may sound like a dream come true, but for buyers; it might be closer to a real estate nightmare!
It’s tough to time the market, but coming up with a plan now and figuring out how you can make it work with today’s rates will ultimately put you in a home faster and protect you from future complications.
Instead of waiting, buyers can take proactive steps by getting pre-approved to understand their budget, researching current market trends, and working with an agent to explore available homes that meet their needs. Taking action now can help you make informed decisions and put you in the best position to navigate the market, regardless of what happens with rates in the future.
Ready to navigate the complex real estate market? Let’s work together to find your dream home. Contact me today to discuss your home buying goals and explore your options.