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Mortgage Rates Recently Hit a 3-Year Low: What It Means for Buyers in Ocean & Monmouth County, NJ
- Jan 29
- 3 min read
If you’ve been waiting for the right time to buy a home in Ocean County or Monmouth County, New Jersey, mortgage rates are finally moving in your favor.
Rates recently dipped into the 5% range for the first time in nearly three years. While they’ve since settled into the low 6% range, experts predict rates will remain near this level throughout the year — a meaningful shift for buyers navigating the Jersey Shore real estate market.
Here’s why today’s mortgage rates are a big deal for homebuyers in Ocean and Monmouth County.
Why Mortgage Rates Matter in the Ocean & Monmouth County Housing Market
Mortgage rates play a major role in affordability, purchasing power, and monthly payments — especially in competitive coastal markets like Point Pleasant, Brick, Brielle, Manasquan, Spring Lake, Sea Girt, Wall, Belmar and surrounding Jersey Shore communities.
When rates were closer to 7%, many buyers — particularly first-time homebuyers — found it harder to qualify or felt priced out. Higher payments meant tighter budgets and fewer options.
Now, with rates closer to 6% or below, buyers are experiencing renewed flexibility.
With today’s rates, buyers may benefit from:
Lower monthly mortgage payments – On a $400,000 loan, payments can be over $300 less per month compared to last year.
Increased buying power – The ability to consider more neighborhoods, larger homes, or properties closer to the beach.
Stronger offers – Improved affordability can help buyers compete more confidently in a limited-inventory market.
This shift can significantly change what’s possible for buyers searching for homes in Ocean and Monmouth County, NJ.
Lower Rates Are Bringing More Buyers Back Into the Market
According to the National Association of Realtors (NAR), mortgage rates at or below 6% dramatically expand buyer affordability nationwide.
When rates reach this level:
5.5 million additional households can afford the median-priced home
Approximately 550,000 buyers are expected to purchase within the next 12 to 18 months
For the Jersey Shore real estate market, this means increased competition ahead, particularly for move-in-ready homes and properties in desirable shore towns.
Buyers who act sooner may benefit from less competition before more buyers re-enter the market.
Should You Wait for Rates to Drop Even Further?
Many buyers are still holding out for rates to return to the high 5% range. While that may happen, the difference between 5.9% and 6.1% is relatively small compared to the dramatic shift from 7% down to the low 6s, which has already improved affordability.
For many Ocean and Monmouth County buyers, today’s rates already provide an opportunity — especially when paired with the right local real estate guidance.
Important Considerations for New Jersey Homebuyers
Mortgage rates are only one piece of the puzzle. Home prices, property taxes, homeowners insurance, inventory levels, and personal finances all play a role in determining what works for you.
That’s why getting pre-approved with a trusted local lender and reviewing your numbers carefully is essential before making a move.
Still, today’s rate environment offers more opportunity than buyers have seen in years.
Contact Cindy Napp, Realtor at the Jersey Shore
Mortgage rates reaching a 3-year low could be the turning point that helps you move from browsing to buying.
If you’re considering purchasing a home in Ocean County or Monmouth County, NJ, now is the time to re-run your numbers and explore your options with a local expert who knows the Jersey Shore market.
Cindy Napp | REALTOR®
Diane Turton, Realtors
732-859-7808 (Call/Text) 📲
732-449-4441 (Spring Lake Office)📍
Let’s talk about what today’s mortgage rates mean for your budget, your goals, and the homes available right now.
