Mortgage rates are finally moving in the right direction, and buyers are stepping back into the market. Recent data shows buyer demand increased significantly once mortgage rates reached a new low for 2025. The Mortgage Bankers Association (MBA) reports that applications for home loans are up 23% compared to the first week of September last year.
If you have been waiting to sell, or if your listing recently expired because the market was slower than expected, now is a great time to reconsider. Buyer demand is the strongest it has been since July, and this is a window of opportunity you do not want to miss.
When Rates Drop, Buyers React
Here’s what you need to know. The 30-year mortgage rate dropped to 6.13% earlier this week, the lowest level since October 2024. This decline followed weaker job growth and other economic indicators that have fueled speculation the Federal Reserve may lower the Federal Funds Rate several times this year. Financial markets are already anticipating those decisions, which is why mortgage rates are moving down. This shift is creating an opening for more buyers to step into the market.
Today’s buyers are focused on affordability and are highly sensitive to even small changes in mortgage rates. In simple terms, when affordability improves, buyer demand rises. (See graph below.)
That is a change you are going to notice in a positive way. For about a year, the market has been in a plateau with limited buyer demand. Now that rates are trending down, interest from buyers is picking up again and creating fresh momentum
What This Means for You
If you are planning a move, now is the time to pay attention to what is happening in the market and how you can use these moments to your advantage. Maybe your listing expired earlier this year without offers, or perhaps you held off on selling because you thought buyers were not ready. This is your signal that they are coming back. It may not be the surge we saw a few years ago, but it could be the opportunity you have been waiting for.
The advantage is clear. You can list while buyer activity is building and before more sellers in your neighborhood make the same decision. Many homeowners will not recognize this shift right away, which gives you the chance to get ahead of the competition if you act now.
If you decide to wait, there may be even more buyers as rates continue to ease, but there will also be more sellers. That means you will face more competition. Why take that chance?
A trusted local agent can guide you through the process, help you determine your home’s value, fine-tune your pricing strategy, and make sure your property attracts the serious buyers who are ready to move today.
Bottom Line
Buyers are closely watching rates, weighing their options, and many are finally stepping back into the market. If you are considering selling, this could be your chance to get ahead.
Want to be sure your home stands out to the right buyers at the right time? Let’s connect and walk through the steps together so you can take full advantage of this opportunity.
