With home prices at record highs and mortgage rates hovering near 7%, it’s no wonder that Americans are wary of buying. According to the latest Home Purchase Sentiment Index from Fannie Mae, only 22% of consumers believe it’s a good time to buy a home, while a staggering 77% say it’s a bad time. But real estate expert and Shark Tank star Barbara Corcoran says the story isn’t so one-sided — and for strategic buyers, now could actually be a moment of opportunity.
Affordability Challenges Are Real
In March, the median price of an existing home rose to $403,700 — an all-time high for that month, and the 21st consecutive month of year-over-year gains, according to the National Association of Realtors (NAR). At the same time, mortgage rates for a 30-year fixed loan average around 6.76%, according to Freddie Mac. That combination of high prices and steep borrowing costs has priced many would-be buyers out of the market, and made others too hesitant to act.
But according to Corcoran, that hesitation may be the very reason savvy buyers should consider making a move.
Why Uncertainty Can Be an Opportunity
“People don’t like to buy in uncertain times,” Corcoran said in a recent Fox Business interview. “People worry… and the last thing they do is want to make a large commitment to anything.” That emotional hesitation creates space in the market — space that can benefit buyers who are willing to look beyond the headlines.
With many would-be buyers sidelined, competition has softened. Corcoran said she’s seeing sellers circle back with offers they wouldn’t entertain just months ago. “The deals that turned me away four months ago are coming back to me,” she said. “So, I know it’s a good time to buy.”
Corcoran is even moving her own money out of the stock market and into real estate, calling it a “much more stable environment.”
Low Inventory Still Persists — But That Could Shift
One major reason home prices have remained high is the persistent lack of inventory. In March, the U.S. housing market had a four-month supply of homes — still below the five- to six-month range typically associated with a balanced market. But if buyer activity continues to drop due to broader economic fears, that supply-demand imbalance could start to ease.
And if that happens, sellers may become more motivated, opening the door to negotiation and better deals for buyers willing to step in while others hold back.
How to Buy Smart in a High-Cost Market
Even if the timing is right, the key is to approach your home purchase strategically. That means being financially prepared, well-informed, and cautious about overextending. Here’s how to position yourself wisely:
1. Get Preapproved for a Mortgage
Before you tour a single property, get preapproved by a lender. Not only does this signal to sellers that you’re a serious buyer, but it also helps you understand exactly how much you can borrow — and how much house you can realistically afford.
2. Stick to a Safe Budget
A common rule of thumb is to keep your housing costs — including mortgage, property taxes, insurance, and HOA fees — at or below 30% of your income. Whether you use gross or net income as your base is up for debate, but the key is to avoid stretching yourself too thin.
3. Avoid Overpaying
With prices already high, it’s critical not to overbid, especially if you’re planning a minimal down payment. If the economy dips into recession and home values decline, you could quickly end up underwater — owing more on your mortgage than your home is worth.
4. Choose the Right Loan Program Carefully
Programs like VA loans can offer 0% down options, but that also means starting with zero equity. In a volatile economy, that can be risky. You could be more vulnerable to value drops and less flexible if you need to sell.
5. Work With a Local Expert
The value of a knowledgeable real estate agent can’t be overstated. An experienced local agent can help you determine whether a property is priced fairly, spot hidden issues, and negotiate with sellers who may be more open to concessions in this slower market.
6. Think Long-Term
If you’re buying right now, plan to stay in your home for five to 10 years. That gives you time to ride out any market fluctuations and build equity, even if prices dip temporarily. Focus on homes that fit your long-term lifestyle, not just short-term convenience.
The Bottom Line
Yes, the housing market is challenging right now — but that doesn’t mean it’s off-limits. For buyers who are prepared, informed, and cautious, the current environment may actually be one of the better times to find a deal. As Barbara Corcoran puts it, hesitation in the market means more room to negotiate — and that could translate to real value.
Just remember: the goal isn’t just to buy a home — it’s to buy the right home, at the right time, in a way that supports your long-term financial stability. With the right approach, today’s uncertain market could be your opening.