Using July Rate Changes to Your Advantage as a Buyer or Seller

By Sold Realty Group

July is often more than just a hot month for the weather — it can also be a pivotal time for the housing market, especially when it comes to mortgage rates.

Rates frequently adjust mid-year, reflecting updated economic forecasts, inflation reports, and decisions by the Federal Reserve. Whether rates tick up or down, savvy buyers and sellers can actually use these shifts to their advantage.

Here’s how you can turn July’s rate changes into opportunity, no matter which side of the closing table you’re on.

🏠 For Buyers: Leverage Rates to Get the Best Home (or Better Terms)

✅ If rates drop slightly in July…

• Increased affordability: Even a 0.5% drop in rates can significantly boost your buying power. For example, a drop from 7% to 6.5% on a $400,000 loan could mean saving ~$120/month — or qualifying for $20,000 more house for the same payment.

• Act quickly: Other buyers will notice too, which can heat up competition. If rates slip, get pre-approved again at the new rate so you can confidently shop or adjust your price range.

✅ Pro tip: Sellers are more likely to get multiple offers after a rate dip, so buyers who are already pre-approved and ready can move before the rush.

✅ If rates rise slightly in July…

• Less buyer competition: Some shoppers may pause, which means fewer multiple-offer situations. This can be the perfect chance to negotiate on price or ask for concessions like seller-paid closing costs.

• More creative deals: Sellers are often more willing to entertain buy-downs or help with points to keep deals moving.

✅ Pro tip: Ask us about negotiating a temporary 2-1 buydown, which lowers your payment for the first two years and makes higher rates easier to handle — especially if refinancing in a year or two becomes favorable.

💰 For Sellers: Use Rate Moves to Strengthen Your Position (or Get Creative)

✅ If rates dip this July…

• Market momentum picks up. More buyers can afford your home, potentially driving up demand and your final sale price.

• Time to hold firm. Increases in buyer pool mean you can be less flexible on price and more selective with contingencies.

✅ Seller strategy: Highlight updated monthly payment estimates in your marketing to show buyers what their costs actually look like at new rates. We can prepare targeted social media and open house sheets that showcase this.

✅ If rates tick up this July…

• Expect slightly longer days on market. Some buyers might hesitate or adjust their budgets.

• Stand out by offering incentives. A small credit toward closing costs or helping buyers buy down their rate can make your home more attractive than others.

✅ Seller advantage: You can often protect your sale price by offering a rate buydown instead of dropping the list price — keeping your comps strong and net proceeds similar.

🔍 Why July Matters So Much

July is historically one of the busiest months for closings, with families aiming to move before the new school year. It’s also when mid-year economic data often triggers lender rate adjustments.

The result? Small rate movements can make a big impact right now, driving urgency (or caution) that shapes how many offers come in, what concessions get asked, and how quickly homes move.

🧭 How to Strategically Navigate July Rate Changes

📈 As a buyer:

• Get re-approved immediately if rates shift. You might qualify for more (or want to adjust your target price).

• Lock your rate if you’re under contract and see rates starting to rise.

• Consider an ARM or temporary buydown if you’re comfortable with short-term solutions and plan to refinance.

🏠 As a seller:

• Stay flexible: If rates rise and buyers get nervous, being willing to negotiate can save you from a price drop later.

• Market creatively: We can run side-by-side payment scenarios for your home that show buyers how even at slightly higher rates, your house remains affordable — or how a seller credit can dramatically lower monthly costs.

🌟 Bottom Line: Rates Are Always Moving — Be the Buyer or Seller Who’s Ready

Whether July’s rates bring slight relief or climb a bit higher, there’s opportunity on both sides of the deal. With the right guidance, you can use these changes to:

✅ Upgrade your home search or lock in a better monthly payment
✅ Negotiate stronger terms as a buyer when competition eases
✅ Maximize your buyer pool or protect your sale price with smart concessions as a seller

At Sold Realty Group, we keep close tabs on rate trends, local lender programs, and what’s actually happening in real-time around Queen Creek, Gilbert, and the Southeast Valley — so you can make confident, informed decisions.

🎯 Ready to Make the Market Work for You This July?

📞 Let’s talk strategy. Whether you’re buying your first home, upsizing, or thinking of listing, we’ll help you navigate rate changes to your best advantage.

✨ Beat the summer rush — and make today’s market work for you, not against you.