Why Waiting for Lower Interest Rates Might Cost You More

Andrew Georgitsis
Jul 30
2 min read

By Andrew Georgitsis, SoCal Realty & Investments | DRE#02266192

If you're thinking of buying a home and planning to “wait until interest rates drop,” you're not alone. It’s a common thought—but one that could actually cost you more in the long run.

Let’s break down why now may actually be the best time to buy, especially if you're eligible for a VA loan or qualify as a first-time homebuyer.

✅ First-Time Buyer Benefits Are Back

If you haven’t owned a home in the past 3 years—or in this case, since 2007—you’re officially considered a first-time homebuyer again. That opens the door to:

Down payment assistance programs
Reduced closing costs
Special grant or tax credit opportunities (varies by county/state)

When combined with a VA loan (which already offers 0% down and no PMI), you’re in a strong position to buy with little to no upfront cost.

📉 The Truth About Waiting for Lower Rates

Here’s what most buyers don’t realize:

When rates drop, prices jump. More buyers rush into the market, increasing demand and driving up prices.
Competition increases. Homes that sit today may have multiple offers tomorrow.
Sellers lose flexibility. You lose the chance to negotiate on price, repairs, or closing credits.

Right now, home prices are soft, and sellers are often willing to help with closing costs or rate buy downs.

📊 Real-Life Example: $700,000 Home

Let’s say you're buying a $700,000 home with a VA loan.

Buy now at 6.5%: Lower home price, possible seller credits, and less competition.
Wait until 4.5%: Prices rise 7% = $749,000. You save on rate, but pay more up front—and may have to compete in a bidding war.

The good news? You can refinance later if rates drop—but you can’t rewind to today’s home prices.

🔍 Ready to Compare Your Options?

Want a personalized breakdown of buying now vs. later with your VA eligibility and first-time buyer benefits? I’m happy to run the numbers and walk you through the options with no pressure—just facts.

📅 Book a free consultation 📞 866-322-5487 📧 info@socalrealtyandinvestments.com

Helping Southern California homebuyers make smart moves since 2008. Andrew Georgitsis, Realtor® SoCal Realty & InvestmentsDRE#02266192