Should I Wait for Interest Rates to Drop?

One of the questions I hear most right now is, “Should I wait for interest rates to go down, or is it smarter to buy now?” It’s a fair question. Rates have been hovering in the low 6s, and that is definitely higher than we’ve been used to over the last few years, and no one wants to feel like they made the wrong financial move.

But here’s the truth: the answer isn’t one-size-fits-all, and waiting isn’t always the safe move people think it is.

Where Rates Are and Where They Might Go

Many buyers are holding off because they believe rates will drop soon. Will they come down? Possibly. But will they drop significantly and quickly enough to make waiting worth it? That is far less certain, and honestly, unlikely.

Economists are projecting gradual declines rather than a dramatic drop. Meanwhile, home prices on Cape Cod are still holding strong because inventory remains tight. So even if rates fall slightly, buyers may face more competition and rising listing prices when they jump back into the market.

The Real Cost of Waiting

Here’s what most people don’t calculate: waiting could cost more than buying now. Even a small increase in home prices or buyer competition can outweigh the benefit of a lower interest rate.

And if the perfect home hits the market while you’re waiting for the perfect rate, someone else who is prepared will buy it.

Marry the house, date the rate is my least favorite colloquialism in this industry. Yes, you can refinance later if rates drop but we need to do better than that. The fact is if all the parts that you need to work for you line up, then that is when you buy. What you can’t do later is go back in time and buy the home you really wanted, so don’t miss out and make sure you’re working with an agent that knows what you want.

What’s Happening Right Now on Cape Cod

• Inventory is still low, especially for well-maintained homes in desirable areas.

• Homes that sit on the market past 30–45 days, sometimes less, are seeing price adjustments and more flexible sellers.

• Fall and early winter are quieter, which means more room for negotiation and less competition from vacation-season buyers.

• Sellers who list now are often serious about selling, not just testing the market.

So, Should You Wait? Here’s How to Decide

Buy now if:

• You’ve found a home that fits your needs and budget.

• You plan to stay for several years and build equity.

• You’re financially prepared for the payment, even if rates don’t drop right away.

  
  

Wait if:

• You’re not financially ready or would be stretching beyond comfort.

• You don’t know where you want to live long-term.

• You’re waiting on a job change, sale of your current home, or other major life event.

Final Thought

Timing the market is guesswork. No one has a crystal ball. Owning a home is stability, wealth-building, and peace of mind. If the right home comes along and the numbers make sense for you and your life, there is value in moving forward. And if rates drop later, great,  we refinance.

If you’re unsure where you stand or want real numbers based on your situation, I’d be happy to walk through it with you. Give me a call or send me a message and let’s talk! 

Cape Cod ~ A Vacationer’s Paradise

Are you dreaming of a getaway to Cape Cod, the picturesque gem of Massachusetts? Planning the perfect accommodation is a crucial part of turning your vacation into a memorable experience. Look no further – navigating through our collection of properties is a breeze. 

Our user-friendly website, www.seashorerentalscapecod.com, allows you to effortlessly explore various options, each accompanied by detailed descriptions and high-quality images. Find the property that speaks to you and fits your vacation vision seamlessly, and book instantly right online.

Nichole Willey & Team

Call/ Text Nichole @ 508.737.3567

Call/ Text Evelynn @ 774.521.5899