Higher rates. Lower asking prices. What happens to the payment?

Freddie Mac’s national average for a 30-year fixed mortgage was 7.03% on September 24, up from 6.95% the week before. That increase affects the payment, but it is only one part of the cost of buying a home.

That number is a survey average. A specific buyer’s quote will depend on their loan and lender.

Why a price reduction matters more than the red arrow

Higher rates can cause some buyers to step back. When a home sits, its seller may decide to lower the asking price. A reduced price can help a buyer’s monthly payment, but it does not automatically make the home a bargain.

Thurston County had 33.2% more active listings in August than it had a year earlier, according to Northwest MLS. That means more choice. It does not prove that every seller is reducing prices or that values are falling across the county. I would compare a particular home with similar recent sales, and ask why it has been on the market.

Here is what the payment math can look like

In this illustration, a $15,000 price reduction more than offsets the rate change from two weeks earlier. It is an example, not a claim that homes throughout Thurston County have dropped by that amount or that the full cost of ownership has stayed flat. Taxes, insurance, HOA dues and cash needed at closing still matter.

Take a look at homes whose asking prices have changed

These live Zillow searches show price-reduced listings in Olympia, Lacey and Tumwater. Listings and prices can change after this article is published.

If a home catches your eye, send it to me. I’ll help you compare its current asking price, recent sales and likely payment before you decide whether to act.