Is Now a Good Time to Buy a Home? A Mortgage Lender’s Perspective (Late 2025)

f you're asking yourself whether it's a good time to buy a home, you're not alone. In a market shaped by rising interest rates, fluctuating home prices, and shifting buyer demand, it's a valid — and important — question.

As mortgage professionals, we understand the weight of this decision. Here's our honest take on what homebuyers should consider in today’s market — and how to know if now is the right time for you to buy.

📈 Interest Rates Are Higher — But Stabilizing

Yes, mortgage rates have risen compared to the historically low rates of the early 2020s. As of late 2025, average 30-year fixed mortgage rates are hovering between 6.75% – 7.25%, depending on credit and loan type.

That sounds high — but context matters. Rates have stabilized, inflation is cooling, and the Federal Reserve has signaled less volatility ahead. Many buyers are adjusting their expectations and still moving forward with purchases, knowing they can refinance if rates drop later.

Pro Tip: A higher rate on a fairly priced home can often be a better long-term decision than buying an overpriced home with a lower rate.

🏘️ Home Prices Are Leveling Off

After several years of rapid price increases, we're seeing more balanced pricing in many markets. Sellers are adjusting, and homes are staying on the market longer, giving buyers more leverage than they’ve had in years.

While some hot metro areas still see competition, bidding wars are less intense, and price reductions are becoming more common.

📉 Renting Isn’t Always Cheaper Anymore

Rents have climbed steadily and show no signs of dropping significantly in most areas. Many renters are finding that monthly mortgage payments — even with today’s rates — are comparable to or lower than rent, especially when accounting for long-term equity gains.

If you're planning to stay put for 5+ years, buying could be more cost-effective than renting.

🏦 Loan Programs Are Expanding

As lenders, we’re seeing growing support for first-time homebuyers and moderate-income borrowers. Programs like:

• 3% down conventional loans

• FHA financing with flexible credit requirements

...are helping make homeownership more accessible, even in a higher-rate environment.

🧠 Is It a Good Time to Buy? Ask Yourself This:

Every market is different — and so is every buyer. Here are a few personal questions we encourage our clients to consider:

✅ Can I afford the monthly payment comfortably?✅ Do I plan to stay in the home for at least 5 years?✅ Do I have enough saved for the down payment and a financial cushion?✅ Am I emotionally and financially ready to take on homeownership?

If you’re answering yes, it’s not just a good time to buy — it may be the right time.

🛠️ Our Advice: Focus on the Big Picture

No one can time the market perfectly. Waiting for the “perfect rate” or “perfect price” can sometimes mean missing out on building equity, stability, and financial growth. The better approach is to make an informed decision based on your long-term goals, not just today’s headlines.

As your mortgage lending partner, we're here to walk you through every step — from pre-approval to closing — and help you structure a loan that works for your life.

📞 Ready to Talk? Let’s Run the Numbers.

Whether you’re just getting started or ready to house hunt, we’d love to help you explore your options. Reach out today to get a personalized rate quote, review loan options, or get pre-approved with confidence.

Jennifer No

RMLO

C&T Mortgage, Inc

16718 House Hahl Rd Ste H

Cypress, TX 77433

832-220-1480 (office)

936-525-7225 (cell)

Jennifer@cntmtg.com

Company NMLS: 1231852

Individual NMLS: 1310829

Buying a home might not be for everyone — but for many, it’s still one of the most powerful paths to long-term wealth. Let’s see if it’s right for you.