If today’s interest rates feel high, here’s a little perspective check. History tells a very different story.
Looking at national averages going back to the 1950s, today’s rates hovering in the mid-6% range are far from extreme. In fact, buyers in the 70s, 80s, and early 90s were routinely financing homes at 8 percent, 10 percent, even 16 percent or more, and real estate still created massive long-term wealth.
So what does that mean for Southern California right now?
It means we are in a market of opportunity, not fear.
Yes, higher rates have shifted buyer behavior, but they have also reduced competition, created room for negotiation, and opened the door to creative strategies like rate buydowns, seller credits, and future refinances. Unlike past decades, today’s buyers are not stuck forever. They can refinance when rates drop, but they cannot rewind home prices once they rise again.
And let’s be real. Southern California is not just any market. Limited inventory, constant demand, lifestyle appeal, and long-term appreciation continue to make homeownership here a powerful move, even in a higher-rate environment.
The takeaway?
Marry the house, date the rate.
Focus on the long game.
Smart buyers win in every market.
This is not a pause button. It is a positioning moment. And the buyers who understand that are the ones building equity while others sit on the sidelines.
