This week has been an active one for the real estate market across the Peninsula. Mortgage rates continue to bounce within a narrow but noticeable range, creating both opportunities and uncertainty for buyers. While the long-term outlook remains steady, short-term fluctuations are affecting how quickly people move, how aggressively they make offers, and what they can afford.
Rates Are Moving Daily — Buyers Are Responding
Even slight shifts in interest rates can impact monthly payments by hundreds of dollars, especially in high-cost areas like San Mateo County. Many buyers are now locking rates earlier, checking in with lenders more frequently, and preparing updated pre-approvals before touring homes.
For some buyers, the unpredictability is pushing them to act sooner rather than waiting for the “perfect” number. For others, it’s a reason to slow down and reassess budgets.
Sellers Are Becoming More Flexible
Sellers are starting to recognize the pressure rate movement puts on buyers. This week, more listings are offering incentives like:
• small price adjustments,
• closing-cost credits, or
• openness to longer escrows.
Homes that are well-priced and move-in ready continue to attract strong attention, but properties needing updates are staying on the market a bit longer — giving buyers negotiating room that wasn’t common a few months ago.
Inventory Is Slowly Widening
We’re also seeing a gradual increase in new listings across the Peninsula. While inventory is still tight compared to pre-2020 levels, the slight uptick is giving buyers more options and taking a bit of pressure off competitive bidding. More choices mean buyers can be thoughtful instead of rushed.
What This Means for Buyers Right Now
If you’re actively searching for a home this week, awareness and preparation are key.
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Stay in close contact with your lender to understand how daily movements impact your budget.
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Be ready to move on homes that check your boxes, but don’t feel pressured into offers that don’t make financial sense.
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Look for listings offering seller concessions — they’re becoming more common.
Bottom Line
This week’s market is defined by movement, not chaos. Buyers who stay informed, flexible, and well-prepared can still find strong opportunities. With rates adjusting and inventory opening up slightly, it’s a smart time to stay active in your search.
