How Rising and Falling Mortgage Rates Really Impact Buyers in Utah

by Bill Gillane

Mortgage rates are one of the biggest drivers of buyer behavior, and if you’ve been watching the market here in the Salt Lake Valley, you know they’ve been moving like a roller coaster. Buyers often ask me: “Should I wait for rates to drop?” And sellers ask: “Are buyers scared off by higher rates?”

Here’s the real truth: both buyers and sellers can win in any rate environment—but the strategy changes.

When rates rise, fewer buyers jump into the market. That means less competition and more negotiating power for the buyers who stay active. I’ve had clients lock in homes they never would’ve won six months earlier—simply because they weren’t competing against 14 other offers.

When rates fall, buyer activity spikes instantly. Inventory drops. Competition increases. Prices climb faster. Great for sellers. Tougher for buyers.

Here’s the mindset I encourage:
Buy when the right home shows up—not when you’re trying to time the market. You can always refinance later. You can’t “refinance” missing out on the perfect house.

If you want help understanding how today’s rates affect your situation, I’m here to walk you through it.