At Liberty Star Mortgage in Fulshear, Texas, we understand that timing is one of the biggest concerns for homebuyers—especially when it comes to interest rates. Many buyers are holding off, hoping that rates will drop before they make a move. But what most don’t realize is that waiting for lower rates could actually end up costing you more. 

If you’re on the fence about buying now versus later, here’s why it may be smarter to act sooner rather than wait.

We’re in a Buyer’s Market Right Now

With interest rates still elevated compared to recent historic lows, today’s real estate market favors the buyer. That gives you more flexibility and negotiating power, including:

• Asking for seller-paid closing costs and prepaids
• Negotiating on sales price
• Requesting repairs after inspections
  

You’re in a stronger position to get a good deal, and sellers are more open to concessions to get their homes sold.

What Happens When Rates Drop?

Most experts anticipate that when mortgage interest rates dip closer to 6%, we’ll see a major shift. Buyers who have been sitting on the sidelines will re-enter the market—fast. That means:

• Increased competition for homes
• Multiple offers on the same property
• Sellers won’t need to negotiate
• Buyers may end up paying $10K, $20K, or even $50K over list price to win the home
  

In a seller’s market, sellers call the shots. That same home you could buy now with seller-paid closing costs and a negotiated price may end up costing you significantly more later.

Should You Wait to Buy a Home?

While everyone’s financial situation is different, the idea that waiting always saves you money is often a myth. You may pay a slightly higher rate today, but you could save tens of thousands on the purchase price and avoid bidding wars. And remember—you can always refinance later if rates improve.

Bottom Line

If you’re waiting for rates to drop, take a hard look at the full picture. In today’s buyer-friendly market, you may have more power and more opportunity than you realize.

If you’re questioning whether now is the right time to buy a home, talk with Collette Horton at Liberty Star Mortgage. We’ll help you explore your options and make a confident decision that works for your goals.