Buying a Home in 2023: Should You Wait for Lower Rates?

As we roll into 2023 in this very uncertain market, we're getting a lot of questions, especially from buyers on whether or not they should be entering the market now or waiting until rates drop. Of course, we cannot predict the future, so we don't know what will happen with rates. However, many economists are predicting that we could potentially start to see a drop in rates late summer, early fall of this year. I would argue that right now could be the best time for you to buy, and here's why. Many of our buyers are getting the biggest bang for their buck. They're not having to pay over list price, and many are getting under contract for under list. Sellers are also giving concessions, so if the rate is truly keeping you out of the market, the seller can contribute towards your closing cost to buy down that rate for a two-year period. And guys, they're doing repairs!!! We have not had a seller do any type of repairs in at least 18 months, so that's a really big deal. And that helps keep more money in your pocket.

I believe that when rates begin to drop, we could potentially see another spring 2022 where buyers flood the market, creating bidding wars and higher prices. So if buying a home is on your radar for this year, I would love for you to reach out so we can dive into what the market is doing in your area and make sure that you are totally prepared and understand the numbers so that you are ready to buy when it's best for you and your family.