Mortgage Rates Just Crossed 7%: How Much House Can You Afford in San Antonio?

Mortgage Rates Just Crossed 7%: How Much House Can You Afford in San Antonio?

The average 30-year fixed mortgage rate reached 7.03% for the week of September 24, 2026, according to Freddie Mac. The 15-year fixed rate averaged 6.42%, while the 30-year rate was 6.30% a year earlier.

If you’re shopping for a home in San Antonio, the rate you receive can make a noticeable difference in your monthly payment. Here’s what today’s rate environment can mean for buyers and some of the ways buyers are approaching affordability.

What a 7% Rate Does to Your Payment

The examples below show estimated principal and interest only on a 30-year fixed mortgage:

• $275,000 home with 5% down

  • Loan amount: $261,250
  • At 7.03%: about $1,743/month
  • At 6.30%: about $1,617/month
  • Difference: about $126/month

• $350,000 home with 5% down

  • Loan amount: $332,500
  • At 7.03%: about $2,219/month
  • At 6.30%: about $2,058/month
  • Difference: about $161/month

These are estimates for principal and interest only. Your actual mortgage rate and monthly payment will depend on your credit profile, loan program, down payment, property taxes, homeowners insurance, HOA dues, and other costs.

The Part Most Online Calculators Get Wrong

Principal and interest are only part of the monthly cost of owning a home. Buyers in the San Antonio area should also consider property taxes, homeowners insurance, and HOA fees:

• Property taxes. Texas property taxes are assessed and administered locally, so the amount can vary by county, city, school district, and other taxing units. Two similarly priced homes in different parts of the San Antonio metro can have different tax bills.
• Homeowners insurance. Insurance premiums can vary based on the property, location, coverage, deductible, and insurer. It’s a good idea to request an insurance quote before finalizing your purchase.
• HOA dues. Some San Antonio-area communities have homeowners associations, while others do not. HOA costs and amenities can vary significantly from one neighborhood to another.

Once taxes, insurance, and HOA expenses are added, the total monthly payment can be noticeably higher than the principal-and-interest number shown by a basic mortgage calculator.

That’s why a detailed lender pre-approval and property-specific payment estimate are so important.

Where Different Budgets Tend to Land

Home prices vary significantly throughout the San Antonio metro, and even homes within the same neighborhood can have very different prices depending on condition, size, lot, upgrades, and location.

Buyers in the $300,000 to $450,000 range may find both resale and new-construction options in several growing areas around San Antonio.

Higher budgets may provide additional choices in communities such as Helotes, Boerne, and other Hill Country areas, while buyers looking west toward areas such as Castroville may find a different mix of homes, land, and lot sizes.

Instead of choosing a neighborhood based only on a general price range, compare the complete monthly cost of each property, including:

• purchase price
• mortgage rate
• property taxes
• homeowners insurance
• HOA fees
• builder or seller incentives
• estimated maintenance costs

Sometimes a home with a slightly higher purchase price can have a similar monthly payment if the taxes, incentives, or financing terms are different.

5 Ways San Antonio Buyers Are Beating 7% Rates

1. Ask about seller contributions toward a rate buydown. Depending on the property, seller motivation, and loan program, a seller may be willing to contribute toward closing costs or a temporary or permanent mortgage-rate buydown.
   Rather than focusing only on lowering the purchase price, buyers can compare which option creates the best overall financial outcome.
2. Compare builder incentives carefully. Some new-construction builders may offer financing incentives, closing-cost assistance, or promotional mortgage rates through preferred lenders. Always compare the complete loan terms, not just the advertised interest rate or first-year payment.
3. Explore VA and FHA financing when eligible. VA and FHA loans may offer competitive financing options depending on the borrower, lender, and property. San Antonio has a large military community, so eligible buyers may also want to explore whether VA financing is appropriate for their situation.
4. Ask about down-payment assistance programs. Texas and local programs may provide assistance with down payments or closing costs for qualifying buyers. Eligibility, funding availability, income limits, and program requirements can change, so buyers should confirm current options with a knowledgeable lender.
5. Buy based on what you can comfortably afford today. Mortgage rates may rise or fall in the future, but nobody can guarantee what will happen next. If refinancing becomes beneficial later, it may be an option. But your purchase should still make financial sense based on the payment and terms you can afford today.

Should You Wait for Rates to Drop?

There isn’t one answer that works for every buyer.

A lower mortgage rate could improve affordability, but changes in rates can also affect buyer demand, competition, inventory, and negotiating conditions.

Instead of trying to perfectly time the market, focus on your own situation:

• Can you comfortably afford the monthly payment?
• Do you have enough savings for closing and unexpected expenses?
• How long do you plan to stay in the home?
• Does the property meet your needs?
• Are there seller or builder incentives available?
• What financing options are available to you?

Today’s market may provide negotiating opportunities on certain properties. If mortgage rates or buyer demand change, those opportunities could change as well.

Work With Someone Who Runs the Real Numbers

Analisa Gutierrez helps buyers throughout the San Antonio area compare more than just the listing price.

That includes reviewing estimated taxes, HOA costs, financing considerations, builder incentives, and other factors that can affect the true monthly cost of a home.

She works with buyers and sellers across San Antonio and surrounding areas including Alamo Ranch, Schertz, Cibolo, New Braunfels, Helotes, Boerne, and Castroville.

Ready to see what your budget could look like?

Contact Analisa Gutierrez, Realtor® for help comparing homes and monthly costs in the neighborhoods you’re considering.

Call or text: 210-803-8746

Frequently Asked Questions

What are mortgage rates right now? Freddie Mac reported an average 30-year fixed mortgage rate of 7.03% and a 15-year fixed rate of 6.42% for the week of September 24, 2026. Your individual mortgage rate can vary based on your credit, loan program, down payment, lender, and other factors.

How much house can I afford in San Antonio on a $75,000 salary? There isn’t one universal home-price limit based only on salary. Your affordability depends on factors such as existing debts, down payment, credit, mortgage rate, property taxes, insurance, HOA fees, and lender requirements. A mortgage pre-approval can give you a more accurate picture of your buying power.

What is the monthly payment on a $300,000 house in San Antonio?  With 5% down, the estimated loan amount would be about $285,000. At a 7.03% 30-year fixed rate, principal and interest would be approximately $1,902 per month. Property taxes, homeowners insurance, HOA dues, mortgage insurance, and other expenses would be additional.

Can the seller pay to lower my interest rate? Potentially. Depending on the loan program and transaction terms, sellers may be able to contribute toward closing costs or mortgage-rate buydowns. Your lender and Realtor can help determine what is allowed and whether it makes sense for your situation.

Are property taxes high in San Antonio? Property taxes vary by location and taxing district. Texas does not have a state property tax. Local taxing units assess property taxes, and qualifying homeowners may be eligible for residence-homestead exemptions that reduce the taxable value used by certain taxing units.