What interest rate are you looking for to help with your move?

If you've been considering buying a home, mortgage rates are likely a major concern for you. They might even be the reason why you've postponed your plans for now. When rates reached nearly 8% last year, many buyers discovered that the numbers no longer fit their budget. This could also be the situation for you.

According to data from MLS, the primary reason buyers delayed their plans to move is because of high mortgage rates.

Indeed, mortgage rates have declined since reaching their peak last October. Despite daily fluctuations, long-term projections indicate a continued decrease in rates this year, contingent upon effective management of inflation. Experts anticipate rates potentially dropping below 6% by the end of 2024. Such a decline would offer significant advantages to many buyers. As highlighted in a recent article from Realtor.com:

“Buying a home is still desired and sought after, but many people are looking for mortgage rates to come down in order to achieve it. Four out of 10 Canadians looking to buy a home in the next 12 months would consider it possible if rates drop below 4%.”

While predicting mortgage rates is challenging, the optimism expressed by experts provides valuable insight into future trends. If your plans were put on hold, this optimism suggests that there's hope on the horizon once again. It might be the right time to start considering your move. The most important question to ask yourself at this point is:

"What specific interest rate are you waiting for before you feel ready to resume your plans to move?"

The precise interest rate at which you feel ready to restart your home search is a personal decision. It could be 5.5%, 5.25%, or even when rates drop below 5%.

Once you've identified your target rate, here's what you should do: get in touch with a local mortgage broker and real estate professor. They'll keep you updated on market developments, including mortgage rates. And when rates reach your desired level, they'll be the first to inform you.