Interest rates have been a hot topic for months, and we hear it all the time—“I’m just going to wait until rates drop.” While that sounds smart, the truth is: waiting could cost you more in the long run.
- 🔄Interest Rates vs. Home Prices
- When rates drop, buyer demand usually spikes. That drives up competition and home prices.
- Example: A home today at $400k with a 6.5% rate could be cheaper monthly than a $440k home with a 5.5% rate later.
- ⏳You’re Paying 100% Interest as a Renter
- If you’re renting while you wait, your monthly payments are still going out the door—but with no equity in return.
- Use this moment to say: “Even at today’s rates, homeownership helps you build wealth over time.”
- 🔁 You Can Refinance Later
- “Marry the house, date the rate.” Rates aren’t permanent. If they drop in the future, you can refinance.
- Emphasize that locking in the right home now gives you more leverage later.
- 📉 Opportunity Lies in Less Competition
- Right now, many buyers are waiting, which means less competition and more negotiating power.
- Once rates fall, buyers flood back in. That window of opportunity shrinks fast.
