Stop Obsessing Over Rates: 4 Things You Can Do Right Now to Buy a Home
Focus on What You Can Control to Buy a Home Now
If you’ve been holding out for mortgage rates to drop before buying a home, you’re not alone. It’s tempting to think, “I’ll just wait until rates come down.” But here’s the truth: waiting might not work in your favor. Rates are influenced by a mix of economic factors—like inflation, job market trends, and Federal Reserve actions—which makes predicting their movement nearly impossible.
Instead of sitting on the sidelines hoping for lower rates, take charge of the things you can control. This way, you’ll be in the best position to buy when the time is right.
1. Strengthen Your Credit Score
Your credit score is a game-changer in determining your mortgage rate. A higher score often means better loan terms, which could save you thousands over the life of your loan.
Start by checking your credit report for any inaccuracies and paying down credit card balances. Even a small improvement can make a big difference. Wondering how your score stacks up? Reach out to a loan officer—they can guide you on how to boost it further.
2. Explore Loan Options
Not all mortgages are created equal. Conventional, FHA, VA, and USDA loans each come with their own benefits, eligibility requirements, and interest rates.
For example, if you’re a veteran or active-duty military member, a VA loan could offer competitive rates and no down payment. If you’re a first-time buyer, an FHA loan might work better for you. A trusted lender can help you navigate these options and find a loan type that fits your needs.
3. Choose the Right Loan Term
Did you know the length of your loan affects both your monthly payment and your interest rate? A 15-year mortgage might offer a lower rate, but it’ll have higher monthly payments. On the other hand, a 30-year mortgage spreads out payments but might come with a slightly higher rate.
Deciding on a loan term isn’t just about the rate—it’s about what works for your budget and long-term goals.
4. Build Your Savings
While rates might fluctuate, putting money aside for a down payment, closing costs, and unexpected expenses gives you more flexibility. Plus, a larger down payment can lower your monthly payment and sometimes even help you secure a better rate.
Bottom Line
Waiting for rates to fall might feel like the safe move, but in reality, it could mean missing out on your dream home. Instead, focus on what you can control: improve your credit, explore your loan options, choose a term that works for your budget, and save strategically.
By taking these steps, you’ll be ready to act—no matter what the market does. Connect with your mortgage professional today and start preparing for homeownership on your terms.