Interest Rates Drop 1 Percent YOY

Interest rates are about 1% lower than last year (and that matters in Whittier)

Over the last 12 months, 30-year fixed rates have trended down roughly a full percentage point, moving from the upper-6% range closer to the low-6% range in recent weeks.

In real life, this can mean:

• Lower monthly payment

• More home buying power

• Better chance to qualify

• More flexibility to cover closing costs or buy down the rate

If you’re searching in Whittier, La Habra, Santa Fe Springs, Pico Rivera, Downey, or Norwalk, that 1% change can make a noticeable difference.

How much more house can you buy with a 1% lower rate?

Here’s a simple example using a 30-year fixed loan (principal + interest only, not including taxes/insurance).

Example: $700,000 loan amount

(common range for Whittier and nearby areas depending on down payment)

• At 7.0%, the payment is about $4,657/month

• At 6.0%, the payment is about $4,197/month

✅ That’s roughly $460/month less.

That kind of monthly savings can help you:

• Qualify for a higher price point

• Compete without over-stretching

• Keep more cash for reserves, repairs, or upgrades

What that looks like for buyers in Whittier, CA

In Whittier, buyers often compete for homes with:

• Updated kitchens

• Larger lots

• Extra living space (ADU potential, bonus rooms, detached garages)

• Great school pockets

• Walkable neighborhoods near Uptown Whittier

A 1% rate drop can be the difference between:

• settling for a smaller home
  vs.

• getting the extra bedroom, bigger yard, or better street

And in some cases, it can help you move from “almost qualified” to approved and ready to buy.

Why this rate drop can also help you negotiate

When interest rates come down, more buyers re-enter the market. That can push demand up again.

But right now, in many parts of Whittier and Southeast LA, you can still find opportunities where sellers will:

• contribute to closing costs

• negotiate repairs or credits

• accept realistic offers (especially if the home has been sitting)

Lower interest rates plus smart negotiation is how you win without overpaying.

Buying now vs. waiting in Whittier

A lot of buyers tell me:

“I’m waiting for rates to drop more.”

Here’s the honest trade-off:

• If rates drop more, prices and competition can rise

• If you buy while competition stays reasonable, you may:

  • get better terms now

  • refinance later if rates drop again

So the move isn’t “time the perfect rate.”
The move is buy the right house at the right price, then adjust later if the market gives you a better opportunity.

Want to know what you can afford right now?

If you’re trying to buy in Whittier, California or nearby cities, I can break down:

• what your payment looks like at today’s rates

• how much home you can buy with your down payment

• which neighborhoods fit your budget best

• how to structure a strong offer (without overpaying)

If you want, tell me your target monthly payment and down payment, and I’ll run a quick “buying power” breakdown for Whittier.