Higher mortgage rates don't necessarily mean it's a bad time to buy. With rates currently around 7% or higher, affordability is important, but today's buyers may also have greater negotiating power on price, closing costs and seller concessions. Shop multiple lenders, explore seller-funded rate buydowns, and evaluate the property's total monthly cost—not simply the mortgage rate. Most importantly, focus on finding the right property at the right price rather than trying to perfectly time interest rates. If rates decline in the future, refinancing may provide an opportunity to reduce the payment later.

The principal driver is the sharp rise in government bond yields. Reuters reports that surging Treasury yields pushed Freddie Mac's 30-year mortgage rate up a quarter percentage point in a single week. A broader global bond selloff has been pushing borrowing costs higher, so the mortgage market is currently responding more to the bond market than simply to the latest Federal Reserve decision. 

There is one potentially favorable development: September's U.S. employment report showed slower-than-expected job growth and an unemployment rate of 4.2%. If softer labor-market data eventually reduces inflation and Treasury-yield pressure, it could provide some relief for mortgage rates. But that has not yet translated into lower mortgage rates.

Buyers should shop multiple lenders and compare rates, APRs and fees, while also exploring whether seller concessions could be used for closing costs or a mortgage-rate buydown. Properties with longer days on market, recent price reductions or motivated sellers may offer additional negotiating opportunities. Rather than waiting solely for rates to decline, focus on securing the right property at the right overall price and monthly cost, with the possibility of refinancing later if rates improve. For condo purchases, carefully consider association fees, reserves, insurance, potential assessments and rental restrictions as part of the total cost of ownership.