For the first time since 2022, 30 year fixed mortgage rates have dropped to under 6% (today they were at 5.98% according to Freddie Mac) just in time for the Spring home shopping season. This is great news for buyers, and also for sellers who have wanted to sell but did not want higher rates on a new purchase.
The average rate has been close to the 6% mark since the beginning of 2026, but this is the lowest point it has reached. The lower rates of the last few months helped stimulate home sales in the third quarter of last year, but in many areas there is still lower inventory than normal.
Due to the higher rates and lower inventory, the housing market has not come out of decline since 2022, after the low rates we saw during and right after the pandemic started to rise.
According to Elvin Wesley, Broker/Owner with Ranch & Coast Mortgage Group (NMLS 234795), “In today’s market, well-qualified buyers can find excellent opportunities. For borrowers with strong credit profiles, stable income, and a solid down payment, 30-year fixed conventional conforming mortgage rates are generally available under 6%. In fact, just this week we secured a rate of 5.625% (5.694% APR) for two clients purchasing a home on 30-year fixed conventional conforming mortgage. Both clients of LaMar Real Estate.
“Of course, interest rates are highly individualized and depend on factors such as credit score, loan-to-value ratio, property type, and overall financial strength. But for buyers who are financially prepared, today’s rates can be far more competitive than many headlines suggest.
“The key is positioning yourself properly — improving credit where possible, structuring the right down payment strategy, and getting fully pre-approved upfront with a mortgage broker. When buyers do that, they’re often pleasantly surprised at the options available to them.” (You can reach Elvin at ewesley@rcmloan.com)
Interestingly, there are many buyers out there who want to buy homes here in San Diego. I know a handful of agents with multiple buyers looking for homes to purchase, myself included. Hopefully the lower rates and upcoming Spring market will bring more inventory to the market, leading to a thriving market.
