It’s Time to Buy Your First Home & Here Are Three Reasons Why

Buying your first home is a huge milestone — exciting, emotional and full of questions. With so much market noise out there, you might be wondering “Is now the right time?” The short answer: Yes — and here are just three reasons why.

1. Interest Rates Are Becoming More Predictable & Lower

After a period of rapid rate increases, lending rates have stabilized, which means that first time home buyers can plan budgets and monthly payments with more confidence and without the stress of wild fluctuations. Early into 2026, mortgage rates have dropped to a three-year low, averaging about 6.06 percent in mid-January. Let me break down what that means for your pockets. In October 2023, 30-year fixed mortgage rates peaked around 7.79 percent. A difference of 1.73 percent may not sound like a huge difference, but it is more than you think when you apply those numbers to the potential cost of your new home. Let’s say that your dream, starter home is $375,000. With no money down, a 30-year-fixed mortgage and an interest rate of 7.79 percent, your estimated mortgage with estimated tax and insurance would be $3,010 per month. When you take that same number and scenario with an interest rate of 6.06 percent, your estimated mortgage payment would be $2,576 per month. That is a savings of $434 per month.

2. Rental Prices Will Continue to Increase

Rent prices have been climbing year by year in Savannah. Now, first time home buyers are seeing that mortgage prices are comparable, and in some cases less expensive, than rental prices. That aside, your mortgage payment contributes to long-term financial growth. This means:

• Your monthly payment goes towards ownership, not a landlord.
• You start building equity the moment you close.
• You lock in your housing costs (with a fixed mortgage rate).

3. Housing Inventory Has Increased & Created a “Buyer’s Market”

Across many regions, including the Savannah-area, inventory, especially in starter homes, has been growing. Active listings have increased by 12.1 percent when compared to December 2024. This is great for buyers because it means:

• More neighborhoods to choose from
• Greater variety in home sizes and styles
• Less competition from offers above asking price

This all means that it’s the perfect time to find the perfect home that fits both needs and budget. Additionally, with more homes for sale and a higher average days on market, sellers are more willing to make concessions and accept offers below asking price.

So, by now, I may have convinced you that now is a good time to buy, but I still haven’t solved your biggest hurdle: Affording it. Let’s tackle that now. There are so many local and federal programs available that make owning your first home more affordable and possible. These programs include things like:

• Low down-payment options
• Down payment assistance
• Tax incentives
• Special mortgage options for first-time buyers

Bottom line, there will always be reasons to wait. Call me at (912)704-1423 and let me show you how the right home could be closer and more affordable than you think.