Rates Just Crossed 7%: Should Westside Rightsizers Still Make the Move This Fall?

The headline sounds scary. But if you've built up years of equity in 80904, 80905, 80906, 80907, or 80919, 7% may matter a lot less to you than it does to the buyers you'll be competing against.

Last Thursday, Freddie Mac reported the average 30-year mortgage rate at 7.03%. That's the first time it's crossed 7% since January 2025, and it's the fifth straight week of increases. By Friday afternoon I'd had three calls from Westside homeowners in their 60s and 70s, all asking some version of the same question: "Les, should we still do this?"

It's a fair question. And for most of the rightsizers I work with, the answer is more encouraging than the headline suggests. Here's why.

Why 7% Hits Rightsizers Differently

Most of the rightsizing sellers I work with in 80904, 80906, and 80919 have owned their homes for 15, 20, sometimes 30 years. That usually means a lot of equity. When you're buying your next home with a big chunk of cash from the sale of this one, the interest rate matters a lot less than it does to a 32-year-old stretching to qualify for a first mortgage.

Some of my clients pay cash outright. Others put half or more down and carry a small loan. Either way, a jump in rates nudges their monthly number a little, not a lot. Here's the math.

The Part of 7% That Actually Helps You

Here's what the headlines skip. When rates climb, some buyers step back. The Mortgage Bankers Association just reported a third straight weekly drop in mortgage applications. Fewer financed buyers chasing single-level homes, patio homes, and townhomes means more room for you to negotiate when you're the one buying.

The local numbers back that up. Per Pikes Peak REALTOR Services data for August, there are 4,297 active listings in our MLS, about a 4.3-month supply, and homes are averaging 49 days on market, 13% longer than a year ago. That's a market where a well-prepared buyer with equity can ask for things, like repairs after inspection, a longer closing, or a short rent-back, that were off the table three years ago.

The Honest Flip Side: Your Sale

I'd be doing you a disservice if I stopped there. The buyer for your current home is probably financing, and 7% squeezes them. That's why pricing your Westside home right from day one matters more this fall than it did in the spring. The homes sitting longest right now are the ones priced for a market that already moved. A well-priced, well-prepared home still sells. An overpriced one ends up chasing the market down with price cuts.

The good news is that it tends to balance out. If you give a little on your sale price, you're often picking some of it back up on your purchase, because the home you're buying is sitting in the same market.

The Question Under the Question

When those three callers asked "should we still do this," rates were only part of it. One couple, who've lived off Mesa Road for 22 years, got to the real worry about ten minutes in: "We just don't know if we'll ever have neighbors like ours again."

That one stuck with me. The math is the easy part. Walking away from the people who watched your house when you traveled, who brought soup after your surgery, who you've shared a fence line and a lot of summer evenings with, that's the hard part. No rate chart addresses it.

What I tell clients is this: the friendship doesn't end at the property line. Many of my rightsizing clients stay within a few miles on the Westside, close enough that the standing Tuesday coffee survives the move. And the patio-home and 55+ communities they move into tend to be full of people in the same season of life, looking for exactly the same kind of connection. As a Seniors Real Estate Specialist, part of my job is helping you find a next place where that's likely to happen, not just one with the right square footage.

So, Should You Wait?

If waiting for rates to drop back toward 6% is the only thing holding you back, I'd gently push back. Nobody can promise when that happens, and the Federal Reserve just raised its key rate for the first time in three years. If you have solid equity and a clear reason to move, like stairs you'd rather not climb, a yard that's become a chore, or grandkids you want to be closer to, 7% probably isn't the obstacle it looks like. The smart next step is to run your actual numbers, not the national headline.

Frequently Asked Questions

Does a 7% mortgage rate matter if I'm paying cash for my next home?

Not on your purchase. If you're buying with sale proceeds and no loan, the rate doesn't touch your monthly cost. Where it can matter is on your sale, since your buyer is likely financing. That's why pricing your current home correctly is the bigger lever for cash buyers right now.

Should I wait for rates to come down before I rightsize?

Only if you have a strong reason to believe they will, and a timeline that can absorb the wait. Rates have risen five weeks in a row and the Fed just raised its key rate. If you carry little or no mortgage into your next home, waiting often costs you more in upkeep, stairs, and time than it saves.

Will higher rates lower what my Westside home sells for?

They can put some pressure on price because they shrink what financed buyers can afford. The Colorado Springs median was $470,000 in August, down about 2% from a year ago per Pikes Peak REALTOR Services data. That's a modest shift, not a crash, and homes priced right from the start are still selling.

Can I negotiate more as a buyer in Colorado Springs right now?

Generally, yes. With about 4.3 months of supply and homes averaging 49 days on market, many sellers are open to repairs, closing-date flexibility, or a rent-back. Buyers bringing strong equity or cash are in an especially good spot to ask.

How do I keep my friendships when I move away from neighbors I love?

Start by looking close to home. Many Westside rightsizers find a single-level or patio home within a few miles, so the weekly walk or coffee keeps going. Then look at communities built around connection. I'm happy to point out neighborhoods where my clients have made new friends quickly.

Want to See Your Real Numbers at 7%?

Let's sit down and look at your equity, your next-home budget, and what today's rates actually mean for your move. No pressure, just clarity.

About Les Goss

Les Goss is the founder and President of Colorado Peak Properties, associated with Metro Brokers, and has been flipping and renovating homes on the Westside since 2004. A former classroom teacher and tech company founder, he holds eight professional designations: PSA (Pricing Strategy Advisor), SRES (Seniors Real Estate Specialist), ABR (Accredited Buyer's Representative), GRI (Graduate, REALTOR Institute), MRP (Military Relocation Professional), ePro, NHCB, and REMD. Les specializes in helping Boomers and Seniors rightsize out of their Westside homes in 80904, 80905, 80906, 80907, and 80919. Reach him at les@coloradopeakproperties.com or visit coloradopeakproperties.com.