Why Waiting Could Cost You: The Case for Buying Before Interest Rates Drop
Flowers Team Real Estate • September 23, 2024
Waiting to buy your next home, hoping interest rates will drop? It might be time to rethink your strategy. Since everyone wants the best deal, holding off could cost more than expected.
Keep reading to learn how to save money by buying in today’s market.
The Impact of Lower Interest Rates on Home Prices
Lower interest rates often attract more buyers as they coincide with more affordable monthly mortgage payments. As demand increases, competition among buyers also increases, driving up home prices.
When rates drop, buyers tend to move quickly to lock in a better deal, raising the demand for homes. This trend could skyrocket prices in Milton, where the market is already active.
Waiting for lower rates might mean jeopardizing your dream home. As prices climb, available houses become scarcer, making finding something that matches your needs and preferences harder. And since there's no certainty rates will fall soon, you also risk what you can afford.
Buying Now Can Save You Money
Acting sooner rather than later could save you money in the long run. Here’s why:
- Home prices today might be better than in the future, especially as more buyers enter the market.
- Even with high interest rates, buying now can actually save you money as home values rise.
- Getting in early helps you avoid the rush of purchasers, which can drive prices up even more.
- Waiting too long could mean higher prices and tougher competition from more buyers.
The Risk of Waiting For Lower Interest Rates
Waiting for lower interest rates is a gamble. A seller's market could return if buyer demand increases, bringing more competition and higher prices.
Rising home prices could cancel out the benefits even if rates go down. Fewer available homes could also make it harder to find the right one as more buyers jump in.
Waiting too long might mean tougher bidding wars, which could raise your costs in the end.
Strategies For Buyers: How to Make the Most of the Market
In today’s market, buyers can still find great opportunities with the right approach. Here are a few strategies to consider:
- Lock in a mortgage rate now to secure better terms before potential price hikes or rising rates.
- Work with an experienced real estate agent who knows the local market and can help you find the best deals and opportunities.
- Be prepared to act quickly when you find the right home. Waiting too long could result in missing out on competitive listings.
- Stay flexible with your options and prioritize must-haves to maximize the available homes within your budget.
Looking to Buy a Home in Milton?
Taking advantage of the current market conditions could help buyers secure a home before prices increase. Acting now can give you long-term savings while avoiding the risks of waiting for uncertain future rate changes.
Flowers Team Real Estate has over two decades of success in Milton, and with all that local expertise, you couldn’t be in better hands.
Get in touch today.
Flowers Team News
Explore Milton’s story from its Indigenous roots to its modern growth. Discover how history, culture, and community shaped this thriving Ontario town.
Discover how Milton’s real estate boom, new transit, and developments such as Thompson Towers are shaping the town’s modern future.
Celebrate the Season! 2025 Santa Claus Parades in Toronto, Peel Region, and Halton Area
Discover the Magic of Holiday Markets Around Milton, Oakville, Burlington, Mississauga, and Georgetown in 2025
Get your home market-ready before the snow falls. From boosting curb appeal and winterizing systems to cozy staging and safety tips, here’s how to sell your home faster and for more value this winter.
Interest Rate Cuts Spark Buyer Optimism September brought a renewed sense of confidence to Milton homebuyers as the Bank of Canada’s recent interest rate cut created more favourable borrowing conditions. This shift made monthly mortgage payments slightly more manageable, encouraging renewed activity—though Milton’s market is still clearly favouring buyers. “The Bank of Canada’s September interest rate cut was welcome news for homebuyers,” said TRREB President Elechia Barry-Sproule. “With lower borrowing costs, more households are now able to afford monthly mortgage payments on a home that meets their needs.” Sales Hold Steady, Inventory Climbs In September 2025, Milton recorded 132 home sales, holding steady with August. However, new inventory surged 16 percent month-over-month, reaching 431 listings. This increase in supply, paired with consistent sales, resulted in a Sales-to-New-Listings Ratio of 0.31 — down from 0.36 in August. This ratio firmly positions Milton in buyer’s market territory. Compared to September 2024, sales were up nearly 4 percent, while new listings jumped by 14.6 percent, giving homebuyers more options to explore. Prices Rebound Month-over-Month Milton's average sale price climbed to $1,036,162 in September — up a strong 7.5 percent from August 2025, and modestly up 1.4 percent year-over-year. Median prices tell a similar story, rising to $955,000, a 4.7 percent monthly increase. These gains suggest that while buyers are cautious, well-priced and desirable homes are still commanding strong offers. However, it’s important to note that price growth was segment-dependent, with detached homes and townhouses seeing more buyer traction than others.
Milton Real Estate Market Update: August 2025 Inventory Up, Sales Slip – A Buyer’s Market in Milton As summer winds down, Milton’s housing market reflected broader regional trends, with a modest shift in buyer behaviour and a noticeable rise in inventory. According to the latest data compiled by the Flowers Team, 132 homes were sold in August 2025 , marking a small 0.76% increase compared to August 2024. But what stands out most is the sharp growth in new listings , which jumped 22.85% year-over-year , bringing the total new inventory to 371 homes. This uptick in listings has tipped the scales in favour of buyers. With a sales-to-new listings ratio of 36% , Milton firmly sits in a buyer’s market , where supply is outpacing demand and buyers have more leverage in price negotiations. Average Prices See Sharp Drop Year-Over-Year The average sale price in Milton for August 2025 dropped to $964,086 , down 9.43% from the same month last year. The median price also reflected this trend, landing at $912,500 , which represents a decrease of 8.76% year-over-year . Compared to just last month (July 2025), the average price has dropped another 5.79% , reinforcing the current cooling conditions in the market. Milton’s detached home segment saw the largest drop in activity, with only 55 sales in August , down a staggering 36% from the previous month. Semi-detached homes fared worse, down 68% month-over-month . Only 7 semi-detached homes were sold this August compared to 22 in July . Townhouses and condos remained flat in activity but also faced downward pricing pressure. Expert Voices Weigh In on Market Conditions “Compared to last year, we have seen a modest increase in home sales over the summer,” noted TRREB President Elechia Barry-Sproule . “With the economy slowing and inflation under control, additional interest rate cuts by the Bank of Canada could help offset the impact of tariffs. Greater affordability would not only support more home sales but also generate significant economic spin-off benefits.” Echoing this sentiment, TRREB Chief Information Officer Jason Mercer emphasized the affordability barrier still facing many buyers. “A household earning the average income in the GTA is still finding it challenging to afford the monthly mortgage payment associated with the purchase of an average priced home,” he said. “Further relief in borrowing costs would see an increased number of buyers move off the sidelines to take advantage of today’s well-supplied market.”
Should you renovate before selling your Milton home? Learn which upgrades buyers want, typical ROI, and how to decide if renovations are worth it before listing.
Milton Real Estate Market Update – July 2025 Home Sales Rebound as Buyers Regain Confidence The real estate market in Milton, Ontario saw a noticeable upswing this July, echoing broader trends across the Greater Toronto Area (GTA). With affordability improving and consumer confidence rising, more buyers are stepping back into the market. Let’s explore the highlights from Milton’s July 2025 real estate performance. Home Sales Surge Over 40% Compared to Last Year Milton experienced 181 home sales in July 2025— a 40.3% increase from the 129 sales in July 2024. This marks the strongest July sales performance in years , and suggests that affordability and buyer motivation are moving in a positive direction. The increase in sales outpaced the growth in new listings, tightening market conditions and increasing the sales-to-new-listings ratio to 38% , up from 33% last year. “Improved affordability, brought about by lower home prices and borrowing costs, is starting to translate into increased home sales,” said TRREB President Elechia Barry-Sproule . “More relief is required, particularly where borrowing costs are concerned, but it’s clear that a growing number of households are finding affordable options for homeownership.” Average Prices Slide, But Momentum Builds The average sale price in Milton for July 2025 was $1,023,334 , down 6.1% from July 2024 , and 4% lower than June 2025 . Similarly, the median sale price dipped to $975,000 , down 5.1% year-over-year . While prices have softened, this appears to be encouraging buyers to make their move, as demand gains traction month-over-month. “Recent data suggest that the Canadian economy is treading water in the face of trade uncertainty with the United States,” said TRREB Chief Information Officer Jason Mercer . “The housing sector can be a catalyst for growth… Further interest rate cuts would spur home sales and see more spin-off expenditures, positively impacting the economy and job growth.”
Selling your Milton home? Know the real costs from commissions to staging and moving. Plan ahead to avoid surprises and boost your profit.
