With mortgage rates holding above 7% and the market reacting to further Fed moves, affordability is top of mind for many buyers. As someone who guides clients through complex decisions—whether it’s your first purchase or you’re investing in a multi-family or commercial building—I always stress the value of planning ahead. Recent studies recommend preparing for rate changes: consider what a half-point jump in the next three months, three-quarters in six, or a full point in a year could mean for your budget.
Interestingly, buyers later in the year often find more negotiating room. Typical homes were about 5% less expensive in early Q4 compared to late Q2, with less competition and more time to negotiate crucial terms. Last month’s inventory offered around a five-month supply, which meant stronger bargaining power—not just for price, but also closing costs, discount points, or even temporary rate buydowns.
While the market is still anticipating additional Fed tightening, the long-term aim is to rein in inflation, which could eventually bring mortgage costs down. My focus remains on helping clients make informed, confident moves—no matter how the market shifts.
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