Why Waiting on Interest Rates in Chicago Might Cost You

By Ressie Krabacher

As a local resident and top performing REALTOR® in Chicago, Ressie Krabacher is relentlessly focused on helping her clients move forward. She serves as an advocate and advisor for buying or selling, overseeing relocation, or adding home ownership to their financial goals.

Have you been thinking about buying or selling a home but feel stuck waiting for interest rates to drop? You’re not alone! Many people are holding back, thinking they should wait for the perfect moment. However, that might not be the best strategy.

I sat down with Kyle Perks from Stonehaven Mortgage to talk about what’s happening with interest rates and the best move for today’s market.

Why you shouldn’t wait for rates to drop. We are at the start of the next cycle in real estate. Interest rates have been on the rise for what feels like ages, but now we’re starting to see interest rates begin to drop.

What are the consequences of waiting? A lot of potential buyers are saying they want to wait until rates are lower. That makes sense, but think about what happens when rates drop.

When interest rates decrease, demand typically goes up. This can lead to an increase in home prices due to the supply and demand curve. So, if you’re waiting to buy when rates drop, you might end up paying more for a home than you would if you acted now.

Timing the market. You might be wondering if we’ll see those super-low interest rates again, like 3%. Frankly, I doubt we’ll get back there. The market is likely to take off when we see rates drop below 6%. Right now, we’re looking at the lows for this year, and the next drop could be just over the horizon.

If you’ve been sitting on the sidelines, now is a great time to re-engage with the market. It’s essential to have active conversations with real estate professionals who can guide you through the process.

Don’t let fear keep you from making a move in this evolving market. The market is cyclical, and being proactive can pay off. Remember, waiting can lead to missed opportunities. Reach out to Kyle at Stonehaven Mortgage at (614) 582-0415 or kyle.perks@stonehavenmtg.com. He can help you understand your options and develop a plan tailored to your needs.

And as always, if you’re thinking about buying or selling in Chicago, contact me at (773) 965-4100 or ressie@kw.com. As always, I’m here to serve.