Is Now the Best Time to Buy in Five Years? Here's What You Need to Know

A recent nationwide article highlights why the final weeks of 2024 could be one of the most favorable buying opportunities we’ve seen in the past five years. With more homes on the market, price reductions becoming more common, and properties taking longer to sell, buyers may be gaining something we haven’t seen in a while: leverage.

👉 Check out this new article from Realtor.com for the national perspective

What’s Happening in the Market Right Now

The Federal Reserve recently lowered the federal funds rate by a quarter point, but that change hasn’t yet translated into lower mortgage rates. As I prepare for an open house this weekend, I’m noticing many buyers feeling “on the fence”—watching, waiting, and wondering how the economy and recent elections may impact both interest rates and home prices.

While this time of year is typically slower for real estate, today’s market conditions suggest this season could be different—and possibly more opportunistic for buyers who are prepared.

Why It Might Be a Smart Time to Buy

Prices today are generally lower than what we may see in the future, even though interest rates are still relatively high. When rates eventually come down, more buyers are likely to re-enter the market, increasing competition and putting upward pressure on prices.

That’s why timing matters—and why it’s important to look beyond just today’s interest rate.

To help buyers make informed decisions, I often use a simulation tool I love called PalmAgent ONE. It allows us to compare buying now versus buying later, side by side, so you can clearly see the potential impact on monthly payments, equity, and your overall financial picture.

Buy Now vs. Buy Later: A Real Example

In the video linked below, I walk through a live simulation using PalmAgent ONE based on a home priced at $850,000. Here’s a summary of what the numbers show:

BUY NOW

• Home Price: $850,000

• Interest Rate: 6.75%

• Monthly Payment: $6,248

• Equity in 2 Years (with 3.5% appreciation): $162,415

• Monthly Payment After Refinancing (at 5.75%): $5,503

BUY IN 2 YEARS

• Home Price: $910,541 (projected appreciation)

• Interest Rate: 5.75% (assumed)

• Monthly Payment: $6,161

• Equity in 2 Years: $0

The takeaway? Buying now locks in a lower purchase price and allows you to build equity sooner—even with a higher initial interest rate. If rates drop as anticipated, refinancing later can reduce your monthly payment while preserving that equity.

Figures shown are estimates for illustrative purposes only. Actual rates, terms, and payments will vary. Always consult your lender or financial advisor for personalized guidance.

👉 Watch the video to see the full calculations and projections in action.

The Power of Planning Ahead

I’m a big believer in future forecasting. Tools like PalmAgent ONE help us model different scenarios using real-time data so you can choose the path that best supports your personal and financial goals.

If you’re considering buying—or even just exploring your options—I’d be happy to run a customized simulation for you.

Let’s figure out the right time to buy for *you*— call me at 619-820-9999 to get started!

Debby Eubank, Realtor® | SRES®
CA DRE# 01332306 | Jason Mitchell Group
📱 619-820-9999