Home sellers think about short-term price when their homes are on the market. They want to know house values for the next few months in order to effectively price their homes to sell.
The Cost of Waiting
Buyers, on the other hand, need to think about the long-term cost of the homes they purchase. If a buyer puts off purchasing a home, that same valued home may cost more in the future if mortgage rates rise. The difference of one percentage point can be significant enough to make a once affordable home out of reach:
Graphic courtesy of The KCM Blog.