At Indigo Mortgage in Albuquerque, owner Ben Lucero has been hearing from many potential homebuyers—especially first-time buyers—who are hesitant to purchase because of current interest rates. While it’s natural to want to hold off for a lower rate, Lucero cautions that waiting could actually put buyers in a worse financial position.

Why Waiting Could Cost You

According to Ben, who has helped thousands buy or refinance a home in Indigo Mortgage’s 20 year history, many buyers believe that once rates drop, they’ll jump into the market and get a great deal. But thousands of other people are waiting for that same opportunity. When rates fall, demand will spike—particularly in growing areas like Albuquerque and Rio Rancho—and competition for homes will increase sharply.

“This isn’t just speculation,” says Lucero. “We’ve seen this happen before. As rates go down, buyers rush in, creating bidding wars and causing home prices to climb quickly. The savings from a lower interest rate are often canceled out by the inflated cost of the home itself.”

Buy Now, Refinance Later

Lucero recommends an alternative strategy: buy a home now, while prices are more stable and competition is lower. Then, when interest rates eventually drop, refinance into a lower rate. This approach allows buyers to secure a home at today’s pricing and improve their loan terms later.

“Refinancing gives you flexibility,” Lucero explains. “You’re not locked into your current rate forever. You can take advantage of future rate drops without having to fight through a crowded buyer pool or risk paying more for the same home.”

In addition, refinancing later means buyers can potentially lower their monthly payment and save thousands over the life of the loan—after already building equity in a home purchased at a lower price point.

Pre-Approval: Your First Step to Buying Smart

Getting pre-approved is one of the smartest things a buyer can do before beginning the home search. Ben Lucero emphasizes that pre-approval not only gives borrowers a clear understanding of their budget, but also strengthens their negotiating power when making offers.

“In today’s competitive housing market, sellers are more likely to take a pre-approved buyer seriously,” says Lucero. “It shows you’re prepared and ready to move forward.”

Pre-approval is a no-cost, no-obligation process at Indigo Mortgage. Lucero and his team work closely with borrowers to help them understand their options, answer questions, and map out a plan that fits their goals.

Why Working With a Local Lender Matters

With over two decades of experience, Ben Lucero has built Indigo Mortgage into one of Albuquerque’s most trusted mortgage companies. Unlike large, out-of-state lenders, Indigo Mortgage offers local expertise, personalized guidance, and a true understanding of the New Mexico housing market.

“Being local allows us to form real relationships with our clients,” says Lucero. “We’re not just trying to close a deal—we’re helping people build a future right here in our community.”

Lucero also notes that working with a local lender can help borrowers navigate the unique dynamics of Albuquerque’s housing inventory, local property taxes, and neighborhood-specific trends—giving buyers a competitive edge.

The Window of Opportunity May Be Closing

Albuquerque continues to experience steady growth, with new businesses, developments, and infrastructure projects drawing more people to the area. That means housing demand will likely increase even more over time. According to Lucero, that’s just one more reason to act now rather than later.

“There’s a real opportunity in this current market,” Lucero says. “But it won’t last forever. Buyers who act now could benefit both from today’s home prices and tomorrow’s lower rates.”

Connect with Indigo Mortgage Today

If you’re thinking about buying a home in 2025, don’t wait for the market to shift out of your favor. Reach out to Indigo Mortgage for personalized service and advice grounded in experience and local insight.

Let Ben Lucero and the Indigo Mortgage team help you move forward with confidence—before the market heats up.