Should I wait for rates to drop before I buy in Charleston?

Rob Redziniak

3 days ago

4 min read

Whether to wait for lower rates is a personal call, and no one can promise rates will fall. Waiting also has costs: prices can move, you keep paying rent, and a good home may not come back. Run your own numbers with a lender and decide from your budget and your timeline.

Tell me what you are looking for and I will help you narrow it down. Start with the buyer consultation form.

What we know and what we do not

Freddie Mac's survey showed the average 30-year fixed rate at 7.40% as of October 15, 2026, up from 6.27% a year earlier. That is a fact about those weeks. What it will be next spring is unknown, and the people who say otherwise are guessing. Check the current Freddie Mac figure any time you read this.

The case for buying when you are ready

You may need a home now for a job, orders, family or a lease ending.
A rate is not the whole price. You can ask about a rate buydown, a seller credit or a builder incentive, which I explain in rate buydowns explained.
If rates fall later, you may be able to refinance, but nobody can promise that you will qualify or that it will make sense. Refinancing has its own costs.
Time in a home also counts, which is value you do not get while waiting.

The case for waiting

Your credit or savings are not where you want them yet, and a few months of work could change your options.
You are not sure you will stay in the area long enough to make a purchase work.
The payment at today's rate would stretch you too far.
You have not yet seen a home you would be happy to buy.

These are good reasons. They are about you, not about guessing the rate.

What waiting can cost

Rent you pay in the meantime does not build equity. Prices and rates can both move, and they do not always move in opposite directions. Competition can change as other buyers who waited return at the same time. I cannot tell you how these will net out, and I will not pretend to.

A way to compare, with your own numbers

Ask a lender to run your payment at today's rate and at two other rates you pick, for the price range you are considering. Add taxes, insurance and any HOA. Then ask: could I comfortably carry the payment at today's rate? If yes, the rate is a factor but not a barrier. If no, either the price range or the timing needs to change. The CFPB home buying tools can help you organize this.

Questions that matter more than the rate

How long do I plan to live here?
How much cash will I have left after closing?
What happens to my budget if insurance or taxes are higher than estimated?
Can I afford this payment if my income changes?

What I do for buyers

I do not push anyone to buy. I help you see the whole picture, including the option to wait, and I tell you plainly what I see in the local market. If waiting is right, we will make a plan for what to work on in the meantime.

A worked example with invented numbers

These numbers are made up to show the trade. A $400,000 loan at 7.0 percent over 30 years has principal and interest of about $2,661 a month. If rates later fell to 6.0 percent, the same loan would be about $2,398, a difference of roughly $263. Now suppose prices rose 3 percent while you waited, so the home costs $412,000 and you borrow that amount at 6.0 percent. The payment is about $2,470, so the savings shrink to roughly $191 a month. And that ignores the rent you paid while waiting. No one knows what rates or prices will do, so use your own numbers.

A short list to decide for yourself

Do I have a stable income and a cash cushion that would survive a surprise?
Does my current living situation have a deadline, such as a lease end?
Could I afford the payment I would get at today's rate?
Would I be comfortable if rates stayed where they are for several years?
What would I regret more, buying and then watching rates fall, or waiting and watching prices rise?

There is no right answer for everyone. Your own situation decides it, and I will go through it with you.

My take: [ROB INPUT: add one or two sentences of your own view before this is published.]

Frequently asked questions

Will mortgage rates go down next year?

No one can know. I do not forecast rates. Plan so your budget works at the rate available when you buy.

Can I refinance later if rates drop?

Possibly, but it depends on rates, your credit, your home value and costs. It is not guaranteed, so do not count on it.

Is it better to buy now or wait?

It depends on your budget and your timeline. I can help you compare the options with real numbers.

Sources, checked October 21, 2026

Where to go next

Keep reading: how mortgage rates are set, rate buydowns explained, should you trust a market forecast. Browse all posts in Market and rates.