Let's talk mortgage rates. According to Freddie Mac, the average 30-year, fixed-rate mortgage was 6.32% for the week ending February 16, up from 6.12% the previous week. While rates increased over the past two weeks, they are still below the 20-year high of 7.08% last fall.

Many housing experts are optimistic that interest rates peaked last year. In contrast, others predict further rate increases until inflation is under control. With informed opinions on each side of the spectrum, how should homebuyers proceed when planning their move?

One typical thought process is rooted in emotion. People are bothered that they didn't buy when rates were lower. Why would you borrow at a higher rate when everyone else who bought real estate in the past few years paid so much less? I understand this completely. However, there are other factors to consider which might alleviate some of the pain.

For one, folks who purchased real estate in the past two years were more than likely involved in a bidding war, overpaying to beat out their competition. Fewer buyers are competing for properties right now, and you're likely to purchase at the asking price or below.

Also, many homeowners refinance their property at least once or twice in the first five years of ownership. If you pay a 6% mortgage rate today and refinance at 5% in one year, over 10 years that 6% rate effectively becomes 5.1%. With that in mind, you'd only be paying 0.1% extra by purchasing a home now before rates come down – and you're likely to get a better deal on the property's price.

Many experts believe that rates will eventually settle around 5%. If they come down to 5% over the next year, by the time it happens, asking prices and competition will have significantly increased compared to the current climate. A balancing act of how these factors impact one another should be considered. Waiting a year for rates to come down may not make a difference.