Encouraging news for homebuyers and future builders: according to Freddie Mac, the average 30-year fixed mortgage rate has dropped to 6.71%, the lowest level in more than three months. This creates an exciting opportunity for those considering building a new home in Southeastern Connecticut, including communities like Waterford, Mystic, East Lyme, Old Lyme, Groton, Stonington, North Stonington, Canterbury, North Franklin and Colchester.
The Outlook: Will Rates Stay Low?
Experts expect mortgage rates to remain steady or even dip further through the end of 2025:
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The National Association of Home Builders (NAHB) projects rates hovering in the mid-6% range by year-end.
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The National Association of Realtors (NAR) anticipates rates averaging 6.7% in the second half of 2025, easing closer to 6.0% in 2026.
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Fannie Mae forecasts rates finishing 2025 at around 6.2%, continuing a gradual decline into 2026.
Together, these forecasts point to a more favorable borrowing environment ahead—great news for anyone ready to invest in building a custom home.
Why Build with Caulkins Homes in This Market?
At Caulkins Homes, we’ve been designing and building custom homes across Southeastern Connecticut for more than 36 years. Our design-build approach means we partner with you from land acquisition through final construction, ensuring every decision aligns with your vision, lifestyle, and budget.
Why This Moment Matters for You
1. Lower Rates (~6.7% now, forecasted ~6% later in 2025)
Even a small dip in rates can mean significant savings in monthly payments—giving you the ability to afford more home without increasing your budget. This could mean upgrading to that gourmet kitchen, adding an extra bedroom, or investing in high-quality finishes. Forecasts suggest rates will stay favorable into 2026, so you can move forward with confidence.
2. Unified In-House Services
Unlike working with separate designers, builders, and contractors, Caulkins Homes offers a seamless full-service process. We handle design, site planning, construction, and coordinate with lenders and engineers. This reduces delays, saves money, and allows you to take advantage of current market conditions quickly—an important factor when locking in rates.
3. Custom Builds with Intentional Design
Because we’re both your architectural designer and builder, your home is created with every detail in mind. We coordinate home design with septic placement, site orientation, and material selections. This ensures your home is not only beautiful but also efficient, practical, and perfectly suited to your lifestyle. With lower rates, you can allocate more of your budget to unique design touches that elevate your home.
4. Local Expertise in Southeastern Connecticut
Building in Connecticut requires deep knowledge of local landscapes, zoning, and lifestyle preferences. Whether it’s a coastal retreat in Mystic, a family home in East Lyme, or a private wooded property in Stonington, Caulkins Homes has the regional expertise to guide you through the process. Our decades of experience in New London County ensure your investment is secure and your home stands the test of time.
Build Your Future with Confidence
With mortgage rates easing and experts predicting continued stability into 2026, now is the time to act. Whether you’re dreaming of a custom home in Waterford, Mystic, Old Lyme, East Lyme, Stonington, or Groton, Caulkins Homes is ready to guide you every step of the way.
Contact us today to schedule a consultation and discover how we can bring your dream home to life in Southeastern Connecticut.
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