If you own a home in Redding, CA, you’ve probably had this thought at least once, often while scrolling listings in your pajamas:
“I’d move… but I don’t want to let go of my 3 percent rate.”
Totally fair. That low rate has been one of your biggest wins. You might even brag about it like it’s a family heirloom. But here’s the part most people forget:
A great rate can’t fix a home that no longer fits your life.
When your space stops working, the rate becomes the least exciting part of the story. And you’re not alone in feeling this tug-of-war between comfort and change.
The Lock-In Effect Is Finally Starting to Melt
Economists call it the lock-in effect, when homeowners stay put solely to protect a low mortgage rate. It’s kept millions of people frozen in place, like a real estate version of musical chairs with no music.
But something interesting is happening. Data from the Federal Housing Finance Agency (FHFA) shows early signs that homeowners are beginning to move again. Slowly but surely, more buyers are taking on higher rates.
Here’s why that matters:
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The share of mortgages above 6% has reached a 10-year high
That doesn’t mean people suddenly love paying more. It means more homeowners have decided they can’t press pause on life forever.
Why Would Anyone Move If It Means Paying a Higher Rate?
Short answer: life refuses to wait.
Families grow. Jobs change. People relocate to be closer to someone they love—or farther from someone they don’t. A house that once felt perfect can suddenly feel too small to breathe in or too large to maintain.
Chen Zhao, Head of Economic Research at Redfin, summed it up simply:
“People are moving again because life keeps moving.”
New jobs. Growing families. Retirement. New phases. New needs. A low rate can’t solve those changes.
The 5 D Motivators Behind Most Moves
Industry insiders often refer to the major life changes that prompt moves as the 5 Ds. You might recognize one or more of these:
Diplomas
Earning more after graduation can open doors to a better location, more space, or features you once had to compromise on.
Diapers
Adding a new family member means needing more storage, more bedrooms, and maybe even a yard. That baby gear won’t magically fit into the hallway closet.
Divorce
Sometimes starting fresh means a new address. A new beginning deserves a home that supports it.
Downsizing
When kids move out, the house often feels bigger than necessary. Less maintenance, lower costs, and more peace can be incredibly freeing.
Death
Loss changes priorities. Being closer to family and support often matters more than holding onto a low interest rate.
Are You Pressing Pause on Your Life Too?
Realtor.com reports that nearly two out of three potential sellers have been thinking about moving for more than a year. That’s a long time to sit in a waiting room that no longer serves you.
Many homeowners are realizing something important:
Staying put may feel safe, but it can also keep life on hold.
Mortgage rates have already eased from their peak, and experts expect a gradual softening in 2026. When you combine that with a real need for a better living situation, moving begins to feel possible again.
The Real Question Isn’t “Should I Move?”
A better question might be:
How long am I willing to live somewhere that no longer fits my life?
Your rate helped you once. Your future can help you next.
Bottom Line: Life Doesn’t Wait for the Perfect Rate
You may not time the absolute bottom of the market, very few people do. But you can choose a home that supports the life you’re living right now.
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Rates have eased from their peak
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Many experts expect further softening in 2026
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And the reasons people move are real and important
If you’re even a little curious about your options, the smartest next step is a simple conversation.
Connect with The Barrett Team. With 142 sales this year, 600+ lifetime transactions, $200M+ in lifetime sales volume, and hundreds of verified five‑star reviews across Google, Zillow, and Fast Expert, they bring the experience and perspective you want on your side.
A conversation is free. Living in a home that no longer fits your life is not.
