Mortgage Rates Top 7%: What It Means If You're Buying in Richmond

Mortgage rates have been climbing. On September 24, Freddie Mac reported the average 30-year fixed rate at 7.03%, up from 6.95% the week before and 6.30% a year earlier. The 15-year fixed averaged 6.42%. That's the highest average in roughly a year.

If you're thinking about buying in the Richmond area, here's what that means in real dollars and what you can do about it.

What the rate change costs

Take a $460,000 home, about the Richmond-area median for a single-family home in July (Central Virginia Regional MLS), with 20% down. That's a $368,000 loan.

• At 6.30% (a year ago), principal and interest is about $2,278 a month.
• At 7.03% (today), it's about $2,456 a month.

That's roughly $178 more a month, or about $64,000 more in interest over 30 years. Taxes, insurance, HOA and mortgage insurance come on top of that.

Should you wait for rates to drop?

Nobody can promise where rates go next. Here's what I tell buyers:

• Buy the home, date the rate. If rates fall later, you may be able to refinance. You can't go back and buy at last year's price.
• Waiting has a cost too. Richmond prices are still up year over year, and single-family homes are selling in about 19 days at close to asking price. When rates drop, more buyers usually come back and competition picks up.
• Buy based on the payment you can afford today. Don't count on a refinance to make the numbers work.

Ways to lower your rate or payment

• Improve your credit score. Even a small bump can move you into a better pricing tier.
• Shop more than one lender. Rates and fees vary. Compare Loan Estimates side by side.
• Ask about seller concessions. With homes selling closer to list price, sellers are more open to paying closing costs or a rate buydown.
• Look at a 2-1 buydown. Your rate starts lower for the first two years, which can ease the first years of ownership.
• Consider a 15-year loan if the payment works for you. The rate is lower and you'll pay far less interest overall.
• Use assistance programs. Virginia Housing has grants and loans that can lower the cash you need to close.

Resources

• Freddie Mac: Weekly Mortgage Rates (PMMS)
• CFPB: Explore Rates and Compare Loan Estimates
• Virginia Housing: Loans and Grants

Want to see your own numbers?

I'm Dustin Olverson, an Army veteran and Branch Owner & Team Leader at eXp Realty-Richmond. Book a quick call and my team will walk through what you can afford at today's rates and which strategies make sense for you.

One Dream Realty Group · Brokered by eXp Realty · 804-720-1286
Book a call: https://scheduler.zoom.us/investment-coaching-dustin/-meet-with-dustin-

Rates are from Freddie Mac's Primary Mortgage Market Survey dated September 24, 2026 and change weekly. Payment examples are principal and interest only, for illustration, and are not a loan offer. This article is general information, not financial or lending advice. Equal Housing Opportunity. Licensed in Virginia.