Real estate investing during a shifting market may sound risky, but it can offer big rewards if approached strategically. If you have financial reserves and a long-term mindset, this could be the perfect window of opportunity. Here are the four reasons I'm planning my next investment right now—and what you should consider too.

1. Fear in the Market Creates Opportunity

Warren Buffett famously said: "Be fearful when others are greedy, and greedy when others are fearful."

Right now, fear and hesitation are driving many buyers out of the market. Higher interest rates and economic uncertainty have cooled demand—but that doesn't mean opportunity has vanished.

Why this matters:

• Less competition means more negotiation power

• Slower markets can lead to better deals

• If you have 6-12 months of financial reserves, you're in a strong position to act

Don’t invest if you don’t have the safety net. But if you're prepared, this may be your moment.

2. Interest Rates Are Not Forever

Yes, interest rates are higher today than in the past few years. But they are not permanent.

Here's how to think about it:

• Buy now with a plan to refinance later when rates drop

• Use seller credits to cover closing costs, not to buy down your rate

• Adjustable-rate mortgages (ARMs) may be a short-term strategy, but consider long-term costs

Think of a higher interest rate as a temporary hurdle—not a lifelong burden. Especially if you're investing with a 10- to 30-year horizon.

3. Buying Without Competition Can Save You More

In Seattle and other competitive markets, bidding wars often drive prices 10-20% above list price.

In today’s market:

• A $1M home that once sold for $1.1M during a hot market might now be purchased closer to asking

• Even at a higher interest rate, your monthly payment may be lower than it would have been with that extra $100K added to the loan

The key takeaway: Total cost matters more than just the rate.

4. Rising Rents and Inflation Favor Investors

Seattle's rental rates are climbing, and inflation is eroding the value of idle cash.

What this means for investors:

• Locking in a fixed mortgage while rent rises can boost long-term returns

• Holding cash may cost you more over time due to reduced buying power

• Even 5% appreciation annually can significantly increase your property value in a few years

If you plan to rent out your property, increasing rental income while your mortgage stays stable can be a powerful wealth-building strategy.

Final Thoughts

Is investing during a shifting market right for everyone? No. But if you have a financial cushion, a long-term plan, and you understand your local market’s trends, now might be one of the best times to buy.

For first-time buyers or seasoned investors alike, the fundamentals still matter:

• Know your numbers

• Plan for the long haul

• Stay flexible