How Lower Rates Can Help Agents Close More Deals in 2026

By Chris Craddock

Chris Craddock is a seasoned Realtor, real estate investor, and entrepreneur with over two decades of industry expertise since 2001.

Are lower interest rates finally your signal to move? Back in September 2025, the Federal Reserve officially cut interest rates to ease inflation and support the economy.

For us in the real estate world, that move opened a massive window of opportunity. In fact, we’re looking at one of the best years we’ve had since the Covid boom.

Since the turn of the year, properties that were just sitting on the market are now getting multiple offers. The reason is simple: lower rates create affordability. When rates drop, buying a home becomes more affordable.

We’ve had a “shadow demand” for a long time. These are buyers who wanted to move but felt stuck. Some were hesitant to give up a 2.75% rate on their current home, while others were weighing the cost of renting versus buying.

As professionals, we know that if you’re renting, your interest rate is effectively 100%. It’s the worst investment you can make. Now that rates are hitting the 5% range and may go even lower, the market is shifting.

Here’s how you can leverage this to close more deals:

1. Re-engage your “dead” leads. Go back to the people you talked to a year ago. Reach out to those who said the rates were too high or that they’d rather rent forever. Also, call the homeowners who said they wouldn’t leave their low-rate mortgage for anything less than a dream house.

I just spoke with a friend in that exact spot, and once he saw the new rates in the fives, he was finally ready to have the conversation. Now is the time to get back in front of those people

2. Refinancing opportunities. With a new Federal Reserve chair likely coming in this May, there’s a strong chance rates will continue to drop. You need to tell your clients the truth: when rates come down, prices go up. This is their chance to get into a property before the prices skyrocket.

If they buy now, they beat the price hike. If rates drop further in the summer, they can simply refinance into an even lower rate. It’s a win-win scenario for them.

3. Be the energy source for your pipeline. I keep a Newton’s cradle on my desk to remind me of one thing: my job is to add energy. In real estate, energy eventually dissipates. Clients get tired, and agents get discouraged. It’s your job to add that energy back into the mix.

You don’t want to approach these old leads with “commission breath,” looking like you only care about the paycheck. Instead, you want to provide valuable information and genuine excitement about their options.

If you want the exact scripts I use to contact these past leads or need to know how to impart this energy to your clients, let’s talk. You can book a one-on-one strategy call or reach out directly at ChrisCraddock@ChrisCraddockLeadership.com. I’m happy to help you make a massive amount of money by getting people into their dream homes.