Should I buy now or wait for rates to come down in San Diego?
If you can afford it today and it's in your comfort zone, I'd buy now, as long as you plan to stay at least five years. You lock in today's price, and you may be able to refinance if rates fall. If buying would mean barely making ends meet, rent longer. I'm Jared Harman, a San Diego REALTOR®.
Published . Last updated . Figures are from my own records unless a source is linked.
Should I wait for rates to drop before I buy?
This is the million-dollar question, and it's really timing the market.
Think about how you invest in the stock market. Are you going for the big swings, or are you patient and believe in time in the market over timing the market? There are winners on both sides. In my view, there are fewer losers among the people willing to bide their time. (Jared Harman's professional opinion, not financial advice.)
I don't have a crystal ball, and I don't think anyone does. There's a lot going on in the world right now, on a very big scale, and it's hard to say anything for certain.
What happens if rates drop after I buy?
You lock in your price today, and the price is what decides your equity.
If rates drop, values are likely to rise, because more buyers can get into the market. So your equity is likely to go up, and you can refinance into the lower rate, if you qualify, depending on your loan type. (Jared Harman's professional opinion. Talk to a lender about your own numbers.)
Freddie Mac publishes the average 30-year mortgage rate every week (Freddie Mac).
What negotiating room disappears when rates fall?
When rates fall, there's more competition. More people can make offers on the same homes.
And where there are more parties, each one has less leverage. That's what it comes down to.
Is San Diego different?
I think San Diego is a little special. We don't have much more land to build on with the same demand, so supply is somewhat constrained. If you can get into a detached home, you'll probably do pretty well. (Jared Harman's own read.)
Condos have been on a dip lately. Through October 2026, the median condo price fell in 20 of 32 zip codes across San Diego (San Diego MLS via GSDAR). Condo or house: my take.
How long should I plan to stay?
At least five years, ideally five to fifteen. If it's a primary residence you can see yourself living in that long, you'll probably do very well.
Even if things dip in the next six months, I hope you weren't planning to sell that soon. If you are, your buying strategy needs a big rethink before you start.
When does renting make more sense?
If buying would mean scraping to make ends meet, maybe it makes sense to rent longer.
I say that completely transparently. There is nothing wrong with renting. How much you really need down, and the help that exists.
What does this mean if you are buying in San Diego?
Get First Look, my weekly list of hand-picked San Diego listings, including coming-soon homes I can share early, with permission from the listing agent.
Buying your first home? How to pick an agent for it.
Who is Jared Harman?
Jared Harman is a San Diego REALTOR® with MatchPoint at eXp Realty of California, Inc., licensed since 2022 under DRE 02193879. He works with first-time and repeat buyers and sellers across the metro San Diego neighborhoods, has 46 five-star Google reviews, and personally toured more than 800 homes in 2025.
Jared Harman has 46 Google reviews, all five stars. He has sold $14M+ in real estate so far in 2026. His videos reach about 250,000 people in San Diego every month, which is where his listings get seen. He personally toured 800+ homes in 2025. In the last 12 months he negotiated about $990,000 in credits and price reductions for his clients.