If you’ve been waiting for mortgage rates to drop before buying a home in Palos Verdes or the South Bay Beach Cities, you’re not alone. But here’s the truth — waiting for that perfect 5-point-something rate could actually end up costing you more on the long run, not less.
⸻
Why Waiting for a Lower Rate Could Backfire
According to the National Association of Realtors (NAR):
“A 30-year fixed rate mortgage of 6% would make the median-priced home affordable for about 5.5 million more households—including 1.6 million renters.”
When that happens, demand will spike — especially in high-demand areas like Palos Verdes Estates, Redondo Beach, and Hermosa Beach.
Key Takeaway: Once rates dip below 6%, expect competition (and prices) to rise.
⸻
What the Numbers Really Mean
A 0.2% rate difference (from 6.2% to 5.99%) only saves about $125 a month on a $1,000,000 loan — less than the average weekly dine out or monthly coffee. But when more buyers flood back into the market, home prices could rise thousands, canceling out that savings.
Local Expert Insight: Cindy Bandy
As one of the Most Knowledgeable Realtors in Palos Verdes and the South Bay on a Top Producing Team, Cindy Bandy helps clients make confident real estate moves — even in uncertain markets.
“Buyers who act while others are waiting often end up with better homes and stronger long-term equity,” Cindy says. “In Palos Verdes and Redondo Beach, timing the perfect rate matters far less than owning the right property in the right location.”
Key Takeaway: Acting during quieter periods often gives buyers more choice, more leverage, and better deals — especially as inventory has risen while buyers wait on the sidelines watching the mortgage interest rates.
⸻
Should You Buy Now or Wait for 2026?
Experts predict rates may gradually ease heading into 2026 — but so will buyer hesitation. When that shift happens, inventory tightens and bidding wars can return.
If the numbers make sense and the home fits your lifestyle, now may be your best window of opportunity.
⸻
Work with a Trusted Local Realtor
Cindy Bandy is one of the most respected real estate professionals in Palos Verdes, Redondo Beach, and the South Bay, ranked among the top agent teams for sales volume and closed transactions. She provides trusted guidance, deep local expertise, and personalized strategies to help you buy or sell with confidence. Cindy Bandy’s local knowledge of the South Bay neighborhoods in Torrance, Redondo Beach, Rolling Hills Estates and the Palos Verdes Peninsula are in depth and she handles each transaction with diligence and the utmost care.
📞 Call/Text: 424-634-0594
🌐 Visit: https://cindybandy.com
📧 Email: cindybandyrealestate@gmail.com
📍 Serving: Palos Verdes, Redondo Beach, Hermosa Beach, Manhattan Beach, Torrance and the South Bay