Buy Now or Wait? Douglas County, Oregon

📉 Buy Now or Wait?

What Interest Rates Really Mean for You Heading Into 2026

As we head toward the end of 2025, one question is dominating conversations with buyers and sellers alike:

“Should I make a move now—or wait for interest rates to drop next year?”

It’s a fair question. We’ve lived through three years of rate volatility, record home appreciation, tight inventory, and a constant stream of headlines predicting everything from housing crashes to buyer booms.

But here’s the truth most people aren’t hearing:

Waiting for the “perfect” rate often costs more than buying strategically in today’s market.

Let’s break down what interest rates are actually doing, what the Federal Reserve is signaling next, and how this impacts your buying or selling strategy as we step into 2026.

📊 What Are Interest Rates Actually Doing Right Now?

Interest rates in 2025 have remained higher than the historic lows we saw in 2020–2021, but they’ve also stabilized significantly compared to the rapid spikes of 2022–2023.

What this tells us:

• The market has largely absorbed today’s rates

• Buyers and sellers are adjusting instead of pausing

• Activity is being driven by life decisions, not headlines

Instead of waiting for drastic drops, most economists anticipate gradual, modest adjustments rather than a return to ultra-low rates anytime soon.

🏦 What the Fed’s Next Moves Signal

The Federal Reserve’s mission is to control inflation without crushing economic growth. As inflation continues to cool, the Fed has more flexibility—but that doesn’t mean we’re headed back to 3% mortgage rates.

Here’s what’s more likely heading into 2026:

• Slow, incremental rate easing (if inflation allows)

• No sudden or dramatic drops

• Continued market normalization, not a shock reset

Translation: If you’re waiting for a “magic number” before making a move, you may be waiting longer than you think.

💡 Why Waiting Can Actually Cost You More

Many buyers assume that lower rates always mean cheaper homes. But history tells a different story.

When rates fall:

• Buyer demand surges

• Competition increases

• Prices often rise

• Multiple-offer situations return

That means the money you “save” on your interest rate can easily be offset by:

• A higher purchase price

• Appraisal gaps

• Waived protections

• Increased pressure to overbid

In contrast, today’s market often offers:
✅ Negotiation power
✅ Seller credits
✅ Rate buydowns
✅ Flexible timelines
✅ Fewer bidding wars

You can buy strategically now and refinance later when rates improve—something you can’t do with a higher purchase price.

🏡 What This Means for Buyers

Buying in today’s market is about strategy, not timing perfection.

Smart buyers are:

• Locking in homes at more reasonable prices

• Negotiating seller incentives

• Using temporary rate buydowns

• Planning future refinances instead of chasing headlines

If you’re financially ready, waiting purely for rate drops could actually push you into a more competitive, expensive market later.

💰 What This Means for Sellers

For sellers, today’s buyers are:

• More serious

• More qualified

• Less driven by emotion

• More focused on value

That means:

• Clean pricing matters more than hype

• Presentation and prep count

• Strategy beats over-shooting the market

If rates soften in 2026, more buyers will flood back in, increasing competition—but also increasing pressure on pricing strategy. Timing your sale correctly could mean capturing strong demand without competing against a surge of new listings.

✅ The Real Question Isn’t “What Will Rates Do?”

The better question is:

“What do my goals require in the next 12–36 months?”

Because the truth is:

• You can’t time the market perfectly

• But you can align your real estate move with your life, finances, and future plans

• And the right strategy always beats waiting on uncertainty

📍 Final Thought

Interest rates are important—but they’re only one piece of the puzzle.

The best decisions are made when you combine:
✔ Market timing
✔ Personal timing
✔ Financial readiness
✔ Expert strategy

If you’re wondering whether buying or selling before 2026 makes sense for your situation, that’s exactly the conversation we should be having.

Because in real estate, clarity always beats speculation.

📲 Thinking of selling in Sutherlin or the surrounding Umpqua Valley? Reach out to The Mary Gilbert Group today to learn how we can help you make the most of Oregon’s 5-Day Market. 📞 For personalized guidance, reach out to our team at 541-229-8114 or visit us at www.marygilbert.com. We’d be honored to guide you home.