Should You Stay in Your Home Because of Your 3% Mortgage Rate?

Over the past year, we’ve heard the same sentence from homeowners across Petaluma, Sonoma County, and Marin County:

“We would consider moving… but we have a 3% mortgage rate.”

And honestly?

Sometimes, that is the right reason to stay.

But sometimes, it’s not the full story.

This is where a thoughtful conversation — not a sales pitch — becomes really important.

Because your mortgage rate is one piece of your situation. Not the whole picture.

The “Golden Handcuffs” of a 3% Rate

A 3% interest rate feels impossible to walk away from. It feels like giving something up that you’ll never get back.

And that feeling is completely valid.

But what we’re seeing with many families in Sonoma and Marin right now is this:

They’re staying in homes that no longer fit their life because they feel financially stuck — without realizing they may have more options than they think.

When Staying Put Truly Is the Smartest Move

There are many situations where we tell clients:

“You’re in a great spot. Stay right where you are.”

If you love your home, the layout works, the commute works, and your space fits your life — keeping that rate is a gift.

Not everyone needs to move. And we’re the first to say that.

When Life Has Quietly Outgrown the House

Where this gets tricky is when we start hearing things like:

• “We really need one more bedroom.”

• “The commute is wearing us down.”

• “We wish we had a yard for the kids.”

• “We don’t love the neighborhood anymore.”

• “We’re bursting at the seams but feel stuck.”

This is when the conversation shifts from rate to life.

Because now, you’re trading daily quality of life to protect an interest rate.

And most homeowners have never actually sat down to look at what that trade-off costs.

The Financing Options Most Homeowners Don’t Realize Exist

This is the part that surprises people.

There are financing strategies, bridge options, and equity tools available that can make a move far more realistic than homeowners assume.

We regularly connect clients with savvy local lenders who can walk through options like:

• Bridge loans that allow you to buy before you sell

• Recasting options after a sale to lower your payment

• Using equity from your current home strategically

• Temporary rate buy-downs

• Creative solutions for homeowners who feel “rate locked”

Not because these are complicated — but because no one has explained them.

This Isn’t About Convincing You to Move

The goal of this conversation is not to push anyone toward selling.

It’s to help you understand your full picture so you can make a decision that fits your current season of life.

Sometimes that decision is to stay.

Sometimes it’s to start planning for a change.

But either way, it should be an informed choice — not one made out of fear of losing a rate.

The Question Worth Asking

Instead of:

“We can’t move because of our rate”

A better question might be:

“What would it actually look like if we explored our options?”

You may find staying is perfect.

Or you may find the gap isn’t nearly as big as you thought.

And that clarity alone is incredibly empowering.

If this is something you’ve quietly wondered about, we’re always happy to talk it through.

No pressure. Just perspective.

We’re realtors, moms, locals, and dog lovers serving Sonoma County and Marin County, who love sharing everything about where we live and the neighborhoods we explore. Follow along by signing up for our weekly newsletter with local favorites and the latest in real estate.