If you’re a San Diego homeowner with a mortgage rate around 3%, it’s easy to feel “golden handcuffed” to your home. Why give up a historically low rate when today's rates are hovering near 7%?
It’s a fair question—but here’s the reality: selling can still make sense, depending on your lifestyle, long-term goals, and the value you’ve built in your current home.
Let’s break it down.
💰 1. You’re Sitting on Significant Equity
Home values in San Diego have soared over the past decade. Even with market shifts, many homeowners still have hundreds of thousands of dollars in equity.
If you’ve outgrown your home—or want to downsize—this equity can be unlocked to make a move with confidence, even at a higher rate.
You can:
- Reinvest in a more suitable property
- Buy with a bigger down payment to offset higher rates
- Use equity to pay down debt, invest, or improve lifestyle flexibility
🚪 2. Life Happens—And Real Estate Should Support It
A low rate is great—but not if you feel boxed in by a home that no longer fits your life. A growing family, a job change, aging parents, or even the desire for a different neighborhood are all valid reasons to make a move—regardless of your mortgage.
Ask yourself: Does your current home still support the life you want to live?
🧮 3. You Can Always Refinance Later
Yes, rates are higher now. But they’ve always been cyclical. If you buy your next home now and rates drop in the future, you can refinance.
The old saying still rings true:
🛒 “Marry the house, date the rate.”
🧭 4. Timing the Market Rarely Pays Off
If your plan is to wait until rates drop again, consider this: when rates do fall, buyer demand will spike—and with it, prices. You may find yourself in a multiple-offer frenzy, paying more for the same home you could buy now with less competition.
📍 5. The San Diego Market Is Still Strong
Inventory is rising, but San Diego continues to be a top-tier real estate market with strong long-term value, a steady influx of buyers, and high demand for well-prepared homes. Selling now allows you to take advantage of:
- Serious buyers actively searching
- High equity positions
- A more balanced market, with less frenzy
🧠 Final Thought: Focus on Net Gain, Not Just Rate
Your 3% mortgage is a great asset—but it’s not the whole picture. What matters most is your net financial and lifestyle gain. If moving gets you closer to your goals—even with a higher rate—it may still be the smartest move you can make.
💬 Thinking of selling? Let’s talk strategy. we’ll help you evaluate your options clearly—no pressure, just perspective.