Realtors analyze recent interest rate cuts, give advice for new home buyers

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SPRINGFIELD, Mo. — The Federal Reserve announced a new interest rate cut on Wednesday, September 17- the first cut since December 2024.

The cut brings the interest rate down between 4.00% to 4.25%, marking its lowest level since 2022.

Some realtors believe that the cut could be encouraging for people in the market for a home.

“One of the biggest objections that we hear is everybody’s waiting for the interest rates to go down,” says Kari Wyrsch, the director of sales for Graddy Real Estate, “I feel like it’s just giving everybody some consumer confidence that things are moving in the right direction.”

According to Wyrsch, mortgage applications in September have been trickling up. As demand is expected to rise, she recommends that people interested in buying a home should get active.

“If you’ve been sitting on the sidelines, you should probably get in now,” she expressed, “All those pent-up buyers are going to now be in the market. So, what we’re going to see is the homes that are on the market, that are sitting right now, we’re going to have all this demand. And so, then we’re going to see increases on prices.”

Ozarks First also spoke to Jeff Kester, the CEO of the Greater Springfield Board of Realtors, who says it can affect the market in different ways for buyers.

“When you get into an environment that is rate-sensitive, you have buyers that are going to buy because rates are relatively lower,” says Kester. “Or, you can get periods where prospective buyers don’t enter the market because they are waiting for bigger changes to come.”

Kester advises people not to immediately react to the cuts and to do research before making any real estate decision.

The full interview with Kester, as well as statistics on this summer’s real estate market, can be found here.

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