A lot of buyers right now are hitting pause, hoping mortgage rates will drop — maybe even back to those record-low 3% rates from a few years ago. But the truth is, those ultra-low rates weren’t meant to stick around forever. They were a temporary response to a unique situation. Now that the market’s starting to stabilize, it’s really about adjusting our expectations and looking at the bigger picture.

 

Back in 2020 and 2021, those 3% mortgage rates were a huge win for buyers — homes felt a lot more affordable, and people had a lot more buying power. But those low rates came from emergency measures put in place during the height of the pandemic. Now that the economy has shifted, we’re seeing rates settle more in the high 6% to low 7% range.

 

 

Instead, a lot of forecasts are pointing to mortgage rates settling somewhere around the mid-6% range by the end of the year — assuming there aren’t any big surprises in the economy. As Kara Ng, Senior Economist at Zillow, puts it:

 

 

Basically, holding out for 3% rates could mean waiting a lot longer than you might think — and potentially missing some great opportunities in the meantime. Instead of putting things on hold forever, it’s better to make a plan, focus on what you can control — like your budget, your credit, and partnering with a trusted professional who can walk you through what’s happening in today’s market and help you navigate your options.

 

Having a great real estate agent and a trusted lender on your side can make all the difference. They know about down payment assistance programs, alternative financing options, smart negotiation strategies — and they’ve got the experience to help you find creative solutions to make your homeownership plans a reality.

 

Here’s the big thing to remember: since rates are expected to come down a bit later this year, that could bring more buyers back into the market. By getting started now, you’re giving yourself a head start — especially with more homes available right now than we’ve seen in quite a while.

 

Think about it — if rates do drop, what do you think is going to happen? Yep, a lot of other buyers will jump back in too.

 

Getting out ahead of that rush could give you a better shot at finding the right home — and with less competition. As Realtor.com puts it:

 

 

 

Now that rates are settling into a new range, it’s a great time to reset your expectations and get a better understanding of where the market’s headed as things continue to shift.

 

Having a local real estate agent and a trusted lender on your side is key — they’ll keep you in the loop, help you understand your options, and work with you to create a game plan that fits your situation.