The Real Cost of Waiting to Buy a Home

Many buyers are choosing to postpone a new home purchase hoping rates will drop again next year, but if home values continue to rise, a lower interest rate may not make a home more affordable.

In this example, a home that costs $500,000 today could be worth $530,000 next year¹. Even if mortgage rates improve, the higher purchase price can offset much—or all—of the payment savings.

The Bottom Line

A lower rate isn’t the only factor that impacts affordability. Waiting could mean:

• Paying more for the same home
• Needing a larger down payment
• Borrowing more money
• Missing out on a year of building equity

Don’t let uncertainty delay your homeownership goals.

¹ Example assumes 6% annual home value appreciation based on Johnson County, Kansas residential property value increases reported in the 2026 Revaluation Report.

² Annual Percentage Rate (APR) represents the true yearly cost of your loan, including any fees or costs and the actual interest you pay to the lender. The rates shown are current rates for the purchase of a single-family primary residence based on 30-day lock period. The rates shown are for example purposes only, are not guaranteed and are subject to change without notice. The interest rates and APRs displayed above may vary based on factors such as loan product, loan size, down payment, credit profile, property value, geographic location, and other factors. The APR and monthly payment amounts are calculated based on a $400,000 and $424,000 loan amount with a 20% down payment and a 30-year amortization period. Additionally, the monthly payment amounts do not include monthly amounts for taxes and insurance which will increase the monthly payment, if escrowed. This is not a credit decision or commitment to lend. To receive a rate quote based on your situation, please submit a loan application to your First State Bank Mortgage loan officer.