09/26/2026
High Interest Rates Are Killing Sales? Not For Everyone!
A Reuters article published on September 24th revealed a surprising twist in the housing market: sales of new single-family homes actually rose 6.4% from July to August.
How is this happening when traditional mortgage rates are hovering near 7%? The answer is simple: massive builder incentives.
To keep homes moving, new home builders are aggressively stepping in to shield buyers from high borrowing costs.
Here is what is happening out there right now:
Below-Market Rates: Some builders are offering promotional interest rates below 4%.
Major Cash Concessions: Builders are heavily funding permanent rate buydowns, covering closing costs, or a combination of both.
In August, these incentives averaged between $10,000 and $30,000 per home, with some major builders reporting total concessions as high as $54,000 per unit.
The one catch? You usually have to use the builder’s in-house mortgage company to secure these perks. Luckily, because I run a mortgage business alongside my real estate brokerage, I know exactly how to audit their terms to make sure their loan packages stay highly competitive.
What does this mean for you, your friends, or your family?
If you—or a coworker, friend, or family member—have been sitting on the sidelines waiting for interest rates to drop or saving up for closing costs, it is worth looking at what’s available right now.
Rates won't stay high forever. But remember: the moment standard interest rates drop, a massive wave of buyers will rush back into the market. When that happens, competition spikes, home prices will climb, and these incredible builder incentives will instantly vanish. Buying new right now lets you lock in today's price and a subsidized rate.
A Quick Word of Warning...
If you visit a model home, you will meet some of the absolute nicest people in real estate: the builder's sales representatives. They have fantastic personalities and are incredibly welcoming.
But make no mistake—they work strictly for the builder.
Their job is to get the best deal for the construction company, not for you. You need an expert advocate in your corner to negotiate the contract, vet the financing, and protect your interests before you sign on the dotted line. That is where I come in.
Being work-centric keeps me on top of every shift in real estate and lending, but nothing gives me more joy than guiding buyers—especially first-timers—on their journey to homeownership.
If you, a coworker, or a family member are chatting about your real estate needs, please don’t keep me a secret! I am always here to help.
Best Regards,
Bob Kope
706-973-1014
[email protected]
