R
eal estate expert Dana Bull advises against waiting for mortgage rates to drop in 2025. Instead, she recommends two strategies to secure a lower rate: negotiating with lenders and considering temporary rate buydowns. Bull notes that current rates are near the historical average, making it unlikely they'll drop significantly.

    To negotiate a lower rate, Bull suggests talking to at least three lenders, including one bank and one mortgage lender. This can help you get different rates and potentially find a better deal. If you have a rapport with a lender, you may be able to ask them to match the lowest rate offered by another lender.

    Temporary rate buydowns are also an option. These reduce the buyer's interest rate for a limited period, usually one to three years, in exchange for a lump sum payment from the seller. Bull notes that this can be a good strategy when properties aren't highly competitive or if you're working with a motivated seller. By negotiating a buydown, buyers can lower their interest rate and save thousands of dollars over the life of the loan.