Many home buyers in the Pikes Peak area are actively watching mortgage rates hover just above 6% and thinking, “I’ll buy when rates hit the 5s.” While it seems like a good idea, as who wouldn’t want a lower rate, it actually may not work as you planned.
Waiting for 5.99% may not save you as much as you think, and in our fast-moving Colorado Springs housing market, waiting could actually cost you more.

Waiting for 5.99% may not save you as much as you think.
And in our fast-moving Colorado Springs housing market, waiting could actually cost you more.

What Most Buyers Don’t Realize: You're Already Saving Hundreds

Affordability is still a challenge nationwide, but buyers in El Paso and northern El Paso County have already gained a major advantage. Mortgage rates have quietly dropped from their peak earlier this year — and that drop translates into real money.

Let’s look at the math.

Rates peaked in May, climbing just above 7%. Since then, they’ve steadily declined into the low 6s.
And according to Redfin data:

📉 The typical monthly payment on a $400,000 home is already down nearly $400 since May.

That’s money in your pocket right now.
Not hypothetical savings… actual savings compared to what you would have paid just months ago.

For many buyers — especially those relocating for military orders at Peterson SFB, Schriever SFB, Fort Carson, or the USAFA — this shift in affordability has opened doors that weren’t open earlier this year.

Why Waiting for the Upper 5s Is a Gamble

A lot of buyers believe that waiting for rates to dip below 6% will save them big.
But experts don’t necessarily agree.

Most forecasting agencies predict that mortgage rates will remain in the low to mid-6s through 2026. Only one major forecaster is predicting a dip into the high 5s — and even then, we’re talking about a very small difference.

The Real Math Behind a 5.99% Rate

Let’s say you wait…
Rates drop to 5.99%…
What does that actually save you?

On an average-priced Colorado Springs home, the difference between today’s rates and 5.99% works out to roughly:

💰 About $80/month.

That’s it.
About the cost of:

• A dinner out in downtown Colorado Springs

• A family DoorDash order

• A tank of gas

• A few lattes at Loyal Coffee or Dutch Bros

Meanwhile, the $350–$400/month you’re already saving compared to this spring?
That’s meaningful.
That’s real affordability that buyers don’t always recognize.

So the real question becomes:
Is waiting for an extra $80/month worth the risk?

Lower Rates Create Higher Competition — Fast

Here’s something many buyers overlook:

When rates fall, competition rises.

And that matters a lot in areas like:

• Monument & Jackson Creek

• Flying Horse & Northgate

• Cordera & Wolf Ranch

• Briargate & Pine Creek

• Old North End & Patty Jewett

These neighborhoods already have limited inventory — and the moment rates dip into the 5s, buyer activity will surge.

According to the National Association of Realtors:

➡ If rates hit 6%, 5.5 million more households suddenly qualify for the median-priced home.

Even if a small slice of them enter the market, that flood of activity can:

• Increase competition

• Reduce negotiating power

• Push prices up

• Eliminate the current buyer advantages

So while you’re waiting for $80 in savings, you may miss the window where:

✔ You have more homes to choose from
✔ Sellers are more open to concessions
✔ Prices are not being driven up by bidding wars
✔ You can negotiate inspection items or closing costs
✔ You can avoid the buyer surge that lower rates will trigger

This current moment — right now — might actually be the sweet spot.

Bottom Line for Colorado Springs & Monument Buyers

You do not need to wait for mortgage rates to hit the 5s.
The savings you’re already getting are far more meaningful than the small benefit of waiting for 5.99%.

If you find a home you love — and the numbers make sense — getting ahead of the crowd may be the smartest financial move you can make.

Let’s run the numbers together for the Colorado Springs or Monument neighborhoods you’re targeting.

I’ll show you exactly what buying now looks like in this market so you can make a confident, informed decision.

Top Colorado Springs & Monument Realtor

Marquesa Hobbs
Trusted • Data-Driven • Local Market Expert
Helping you make confident, well-informed real estate decisions.

cell 719.238.0330 office 719.536.4444

Marquesa@ColoradoHearthstone.com