Two things are true in the housing market right now, and they pull in opposite directions. Homes for sale are more plentiful than they have been in years, which normally favors buyers. Mortgage rates just climbed back above 7 percent, which normally favors nobody. If you are PCSing this fall or next spring, understanding how those two forces net out matters more than watching either one alone.
Rates Climbed Back Above 7 Percent
The 30-year fixed rate averaged 7.03 percent for the week of September 24, 2026, up from 6.95 percent the week before, according to Freddie Mac's Primary Mortgage Market Survey. That is a sharp move from where rates sat over the summer, and a reminder that the "rates are falling" narrative from earlier this year is not the whole story.
Rates move week to week. Confirm today's number with your lender before you budget a payment. Source: Freddie Mac PMMS.
For a VA loan, a higher rate does not change your $0 down payment or remove your funding fee exemption if you qualify for one, but it does change your monthly payment and how much house that payment buys. Our guide to whether the VA loan always has the best rate explains how VA pricing compares to conventional financing even as the overall rate environment shifts.
Inventory Is the Highest It Has Been in Years
While rates were climbing, supply was also building. Active listings were up 5.8 percent year over year as of the week of September 19, 2026, with more than 1.17 million homes on the market nationally, according to Realtor.com's weekly housing data. Existing-home inventory reached 4.9 months of supply in August, the highest level in more than a decade, per the National Association of REALTORS. New listings hit their highest level in more than four years, according to Redfin, and nationally, 59.5 percent of homes sold below their original asking price in August.
More supply and slower sales are shifting negotiating leverage toward buyers in most markets. Sources: Realtor.com, NAR, Redfin, Freddie Mac.
More supply than buyers typically means more room to negotiate: seller concessions, repair credits, and price reductions become more common, and homes sit longer before selling. That is real leverage if you are buying, and it is worth planning around if you are selling.
What This Means If You Are Buying on a PCS
More inventory means more choices and less pressure to waive an inspection or bid over asking just to compete, which matters if you are house-hunting long-distance on leave and cannot see every listing in person. A higher rate does mean your BAH has to stretch further on the payment side, so it is worth running the numbers before you start touring. Our guide to how much house you can afford on BAH is a good starting point, and seller concessions are more realistic to ask for in a market with this much supply, which can offset some of the higher-rate math through a temporary rate buydown or a closing-cost credit.
Connect with a VeteranPCS agent in your next duty station's market before you start touring, since local conditions vary a lot even within a national trend like this one.
