2026 Home Buyer’s Guide: How to Buy a Home in Josephine County with Rates at 6.2% (and What Happens If They Drop More)
Kale Murray, Licensed Realtor®
Illinois Valley Real Estate Serving Grants Pass ⋅ Cave Junction ⋅ Selma ⋅ Kerby ⋅ Wilderville ⋅ Merlin ⋅ Grants Pass & all of Josephine County Call or text:
541-237-4394
kale@ivre.co | realkale.com
If you’ve been sitting on the fence waiting for mortgage rates to “get good again,” the wait is basically over.
As of this week (December 2025), the national 30-year fixed average just dropped to 6.19% — and I’m getting qualified buyers in Josephine County approved at 5.99%–6.25% with local lenders and credit unions right now.
That’s the lowest we’ve seen since 2023, and it’s putting real money back in people’s pockets.
But here’s the truth most national headlines won’t tell you: rates are likely to bounce between 5.8% and 6.5% through all of 2026. Waiting for 4–5% could cost you $50,000–$100,000 more for the same house once our local prices keep rising.
So should you buy now? My answer for almost every ready buyer right now is a loud YES — and here’s exactly how we’re making it happen.
The Math That’s Getting Buyers Off the Fence Right Now
For a typical Josephine County home priced at $425,000 today (the current median sale price around Grants Pass):
If you buy today at the current average rate of 6.19%, your principal-and-interest payment would be $2,599 per month, you lock in the home at $425,000, and you’ll pay approximately $517,000 in interest over the full 30-year loan.
If you wait 12 months hoping to catch a lower rate of 5.5%, your monthly payment would drop to $2,518 (only $81 less per month), but by then the same house will likely cost around $448,000 because of normal 6% appreciation in our market — and even with the lower rate, you’ll still pay about $459,000 in total interest over the life of the loan.
In other words, waiting saves you $81 a month on paper, but it costs you an extra $23,000 upfront for the house and you miss out on a full year of building equity and tax benefits.
5 Strategies My Josephine County Buyers Are Using Right This Minute
2-1 Temporary Buydowns – Seller or builder pays to drop your rate 2% year one, 1% year two. Turns a 6.125% loan into 4.125% the first year → saves $500–$600/mo when you need it most.
Permanent Buydowns with Seller Concessions – Ask for 3% of the price in closing-cost credit and buy the rate down forever into the mid-5s.
Oregon Bond & OHCS Down-Payment Assistance – Still available and stacks with conventional loans (up to 5% help).
House Hacking / ADUs – Buy a duplex or home with a rental unit and let tenants pay most or all of your mortgage.
Shop Local Credit Unions First – They are beating the big banks by 0.25%–0.375% right now.
Your 2026 Josephine County Buying Calendar (Sweet Spots Highlighted)
Dec 2025 – Jan 2026 → Get pre-approved & educated
Jan 15 – Mar 15 → Absolute best window — new inventory hits, low competition
Apr – May → Highest competition & prices
Jun – Aug → Slower pace, motivated sellers
Sep – Nov → Second wave of listings + rates often dip again
Ready to Make 2026 Your Homeownership Year?
Text or call me right at 541-237-4394
Rates are literally gift-wrapped this month. Let’s go unwrap yours.
Kale Murray Illinois Valley Real Estate 541-237-4394 realkale.com
P.S. The last time rates were this good, the best homes were gone in days. This time, let’s make sure one of them has your name on it.
