The year 2023 has brought a new set of challenges to the real estate market, and LGBTQ+ homebuyers are finding themselves at the forefront of these changes. With mortgage rates on the upswing, it’s crucial to understand the strategies that can help you secure your dream home and navigate the ever-evolving landscape.

The Rise in Mortgage Rates

In the wake of the COVID-19 pandemic, mortgage rates had been at historic lows, making homeownership more accessible to many LGBTQ+ individuals and couples. However, as we move further into 2023, interest rates have been steadily climbing. This sharp rise in rates presents both challenges and opportunities for prospective LGBTQ+ homebuyers. Let’s look at some options available to make a move make sense.

Adjustable-Rate Mortgages (ARMs): A Viable Option

One strategy that LGBTQ+ homebuyers might consider during this period of higher interest rates is exploring Adjustable-Rate Mortgages (ARMs). ARMs typically offer lower initial interest rates compared to fixed-rate mortgages. While these rates may adjust periodically, they can be an attractive option for those who plan to sell or refinance their homes within a few years.

It’s important to work closely with LGBTQ+ friendly mortgage professionals (get a referral from your agent) to fully understand the terms and potential risks associated with ARMs. They can help you assess whether an ARM aligns with your financial goals and timeline.

3-2-1 Buydown Loans: Easing the Initial Impact

Another option for LGBTQ+ homebuyers is the 3-2-1 Buydown Loan. This type of mortgage allows you to gradually adjust to higher interest rates. It typically starts with a lower interest rate in the first year, which then increases slightly in the second year, and finally settles at the full interest rate in the third year and beyond.

A 3-2-1 Buydown Loan can provide some relief from the immediate impact of rising interest rates while giving you time to adjust your budget and financial plans.

Expert Guidance Matters

In these times of fluctuating interest rates, working with LGBTQ+ real estate professionals and mortgage experts is paramount. They can help you navigate the complexities of the current market, assess your unique financial situation, and tailor a strategy that aligns with your homeownership goals.

Additionally, they can assist you in exploring various mortgage options, including fixed-rate mortgages, adjustable-rate mortgages, and buydown loans, ensuring that you make informed decisions.

Remember – Interest rates fluctuate. When I first got into the business in the 80’s the interest rate on an FHA loan was over 16%! It’s likely the Fed will be forced to start cutting rates again after the first of the year – if you buy today, you can refinance at a time where that makes sense. (not financial advice)

The Path Forward

As LGBTQ+ homebuyers face the challenges posed by rising mortgage rates, it’s crucial to stay informed, be adaptable, and seek professional guidance. The real estate market is ever-changing, and with the right strategies and support, you can still achieve your dream of homeownership even in this high-interest rate environment.

At, we are dedicated to supporting the LGBTQ+ community in all aspects of real estate, from finding the perfect home to securing the right mortgage. If you have questions or need assistance, our team of LGBTQ+ friendly real estate professionals is here to guide you on your journey to homeownership in 2023 and beyond.

Jeff Hammerberg is a distinguished entrepreneur and broker, and the visionary founder of For over 25 years, he has been a prolific writer, coach, and author who has been instrumental in advancing the cause of fair, honest, and equitable representation for all members of the LGBTQ+ community in real estate matters., which he established, is the largest and longest-running gay real estate agent referral service in the nation, boasting over 3500 LGBTQ+ realtors who operate in cities across the United States, Canada and Mexico. His commitment to promoting inclusivity and accessibility in real estate has earned him a reputation as a passionate advocate for the LGBTQ+ community.