You’ve probably heard someone mention this at some point, right? “Yesterday was the best time to buy a home, but the next best time is today.”

Yeah, so here’s the thing—home values across the country just keep going up. And with mortgage rates staying high and prices climbing even more, it’s tempting to wait it out, right? Maybe you’re hoping prices will drop or that you’ll catch the perfect rate. But honestly, holding off for that “ideal” moment might end up costing you more in the long run. Timing the market is tricky, and waiting could mean missing out.

Home values are still ticking upward, just at a more balanced speed.

Honestly, hoping for home prices to drop significantly is pretty wishful thinking in most areas. According to Fannie Mae’s Home Price Expectations Survey, experts are predicting that prices will keep climbing through at least 2029. So, waiting around for a big price drop might not be the best move.

So, while we’re not seeing those crazy jumps in home prices like we did in past years, experts are predicting a more steady and manageable increase of about 3-4% per year across the country. Honestly, that’s a good thing—it’s a more normal, sustainable pace, which is a bit of a relief for anyone looking to buy a home. Check out the graph below to see what I mean!

Why This Matters to You

I get it—waiting for prices or mortgage rates to drop before buying a home can feel like the smart move. But here’s the thing: if you decide to hold off, there are a few factors you’ll want to keep in mind.

Home prices tomorrow are going to be higher than they are today. So, the more you wait, the more you’ll end up paying when you finally decide to buy.
Holding out for that perfect mortgage rate or hoping for prices to drop might not work out the way you’d expect. Even if rates go down a bit, home prices are still climbing—and that could end up costing you more in the long run.
If you buy now, you’ll start building equity right away. With home values on the rise, your investment begins growing the moment you make the purchase. It’s like getting a head start on building wealth.

What’s Keeping Prices Up? Supply and Demand Tell the Story

So, even though there are more homes available now compared to last year—or even last month—there still aren’t enough to meet the demand from all the buyers out there. And that’s keeping the pressure on prices to keep climbing. As Redfin explains it:

"Prices will rise at a pace similar to that of the second half of 2024 because we don’t expect there to be enough new inventory to meet demand."

Every market is unique, but in most areas, you can expect home prices to keep rising at a steady pace. Sure, some places might slow down a little, but a huge nationwide price drop? Don’t count on it.

Bottom Line

Staying invested pays off more than trying to predict the market.

If you’re stuck trying to decide whether to buy now or hold off, here’s something to keep in mind: real estate tends to reward people who jump in and start building equity, not those who wait around trying to time the market perfectly.

Sure, today’s housing market isn’t exactly easy, but there are still ways to make it work. You could look into different neighborhoods, consider smaller options like condos or townhomes, talk to your lender about creative financing, or even check out down payment assistance programs. The bottom line? Focus on taking action when it feels right for you, instead of waiting for that “perfect” moment—because it might never come.

Curious about what’s going on with home prices in our area? Whether you’re ready to buy right now or just starting to think about it, having a solid plan can really help set you up for success. Let’s take a look together!