Why Now is the Time to Buy

January 09, 2026•1 min read

Why Now Is the Time to Buy

The real estate market is setting up a unique opportunity for buyers. Household formation is a key driver of housing demand—when children move out or families change through life events like marriage or divorce, new households are created. From 2021 to 2024, the U.S. averaged 1.8 million new households per year, fueling strong demand.

In 2025, household formation slowed—not because demand disappeared, but because higher mortgage rates caused many buyers to wait. This has created pent-up demand that is ready to return as rates improve.

At the same time, housing starts have declined, making the housing shortage even more pronounced. Because it takes years to add supply, this imbalance won’t be fixed quickly.

Historically, mortgage rates and pending home sales move closely together. Even small drops in rates tend to bring buyers back into the market quickly. For buyers waiting on the sidelines, this means more competition—and potentially higher home prices—once rates fall.

The takeaway is simple: buyers who wait for the “perfect” rate may find themselves facing higher prices and fewer choices. For many, buying now and refinancing later can be a smarter long-term strategy. This year may offer one of the best windows to secure a home before demand accelerates again.

Jennifer Blau

Jen brings a wealth of experience from the financial services industry, starting as a Certified Financial Planner and later earning her MBA in Finance from Duke University. After working in Corporate Bond Sales and raising three daughters, she joined Team Pogue Real Estate, where she’s spent over a decade building community relationships. With a deep understanding of both finance and family life, Jen offers a personalized, thoughtful approach as a mortgage loan originator—committed to helping families find the right path to financial stability and homeownership.

Back to Blog