The Truth About Rate Cuts and San Diego’s Market

The Federal Reserve is signaling two more rate cuts this year, and mortgage rates have already slipped to about 6.3 percent from a January peak above seven. San Diego’s challenge is less about borrowing costs and more about affordability and supply.

Buyers still face steep monthly payments, while most homeowners are sitting on loans with rates in the threes or fours. That lack of movement keeps inventory tight, and tight inventory keeps prices firm.

Even with national headlines talking about a slowdown, well-priced homes here are still drawing strong attention when presented well. The next real shift will come when affordability improves and sellers regain the confidence to move.

For buyers, this is a time to prepare. Get preapproved, know your numbers, and stay ready for opportunities. For sellers, strategic pricing and polished presentation still bring results.