Is Now a Good Time to Buy? Why Waiting on Interest Rates Could Cost You Thousands

If you’ve been scrolling through real estate listings, calculating monthly payments, and feeling a knot in your stomach at today’s interest rates, you aren’t alone. The jump from the historic lows of a few years ago to today's market has left many Metro Detroit buyers freezing in their tracks, waiting for a "better time."

But what if that wait is actually costing you more than the higher rate itself?

In this post, we are peeling back the scary headlines to reveal the historical truth about mortgage rates. We will break down the Michigan housing market predictions for 2025, uncover the hidden financial risks of rising rents, and show you opportunities in Wayne, Oakland, and Macomb County that most buyers are completely missing.

Let’s Talk About the Elephant in the Room

Let’s talk about something a lot of Metro Detroit buyers are feeling right now: interest rate frustration. People remember the 2-3% rates from a few years ago, and anything higher feels like a rip-off.

I get it. If your friend bought a home in 2021 at 2.8%, today’s rates in the 6% range might feel "off". But if you are Googling "Will home prices drop in Detroit 2025?" you need to look at the history, not just the headlines.

The Truth About Current Mortgage Rates

Here is the reality check: Today’s rates are normal. Really..

They are sitting almost exactly at the 100-year historical average. The ultra-low rates we saw during the pandemic were a once-in-a-lifetime anomaly caused by a global shutdown. They were never meant to be the new standard.

Smart buyers aren't waiting for a unicorn to return. They are focusing on move-in ready homes for sale in Detroit right now. The strategy is simple: Get the best rate available today, buy the home you want, and refinance later if rates drop.

The Real Cost of Waiting: Rent vs. Buy

A lot of people say, "I’m just going to wait until rates dip back down.".

But let’s play that out. While you are on the sidelines, Detroit rental market trends are moving in the wrong direction for tenants.

• You are paying more: Detroit recently ranked #2 in the U.S. for rent growth. You are likely paying $1,500–$2,400 a month—money you will never see again.

• You are losing equity: You miss out on appreciation.

• Prices will likely rise: When rates eventually drop, prices will almost certainly climb again because every buyer jumps off the sidelines at the same time. This means more competition, fewer concessions, and bidding wars. Waiting for a "deal" often means paying a higher sticker price later.

Why the Metro Detroit Housing Market is a Sweet Spot

Unlike expensive metros, our market is still incredibly accessible. You can still find affordable starter homes in prime locations:

• Starter homes: $180k–$260k

• Move-up homes: $260k–$350k

• Family homes: $350k–$500k

Right now, you have advantages that buyers in 2021 didn’t have. Sellers are offering concessions again—like rate buydowns and closing cost help. Plus, for first-time buyers, programs offering down payment assistance in Michigan (like MSHDA) can help bridge the gap, making entry even easier.

Get the Facts at Our Free Home Buying Seminar

At our Home Buying and Selling 101™ seminars, we teach one simple truth: You don’t buy a rate. You buy a home..

Homeownership is a long-term play. The people who bought in 2017 at 4.75% didn't wait for perfect conditions—they bought when it made sense for their lives and refinanced later.

Don’t let a completely normal interest rate stop you..

Ready to run the numbers?

Your opportunity is here now. Join us at our next seminar to get clarity, honest guidance, and a real look at the best neighborhoods in Oakland County and beyond.