The Fed Raised Rates. Is It Still a Good Time to Buy or Sell a Home in Oakland, Piedmont, or Berkeley?

By David Higgins, Founder, Cush Real Estate by Design | September 17, 2026

Yesterday, September 16th, the Federal Reserve raised its benchmark rate by a quarter of a percentage point from 3.75% to 4%, its first increase since 2023, and projections point to a possible second hike this year. A headline like that can make anyone thinking about a move pause, so let’s start with a distinction that matters: the Fed does not set mortgage rates.

Mortgage rates respond to the bond market, inflation, economic data, and what investors expect next. The markets saw this hike coming well before the announcement, and mortgage rates had already moved higher. Freddie Mac’s 30-year fixed average reached 6.76% last week, its highest level in more than a year, compared with 6.35% a year ago. In other words, much of the hike was already reflected in the rates buyers were being quoted.

So is it still a good time to make a move? For many buyers and sellers in the East Bay, yes.

 

East Bay Home Values Are Holding Strong

Even as borrowing costs climbed, demand across our core marketplace held firm. Oakland’s median sale price rose 6.5% year over year, Berkeley’s rose 8.8%, and in the neighborhoods where our clients live and buy, most homes are still selling well above asking.

Crocker Highlands remains one of the most sought-after addresses in Oakland, and it leads the way:

CROCKER HIGHLANDS
— Median sale price: $2.28 million, down 0.9%
— Days on market: 9
— Sold over asking: 99.8%
— Average sale price above list: 24%

TRESTLE GLEN
— Median sale price: $1.52 million, up 11.7%
— Days on market: 14
— Sold over asking: 90%
— Average sale price above list: 17%

MONTCLAIR
— Median sale price: $1.6 million, up 18.5%
— Days on market: 13
— Sold over asking: 83%
— Average sale price above list: 28%

GLENVIEW
— Median sale price: $1.45 million, up 11.1%
— Days on market: 13
— Sold over asking: 84%
— Average sale price above list: 32%

PIEDMONT
— Median sale price: $3.01 million, up 2.0%
— Days on market: 14
— Sold over asking: 78%
— Average sale price above list: 23%

ROCKRIDGE and UPPER ROCKRIDGE (94618)
— Median sale price: $1.61 million, up 0.1%
— Days on market: 20
— Sold over asking: 74%
— Average sale price above list: 23%

BERKELEY
— Median sale price: $1.47 million, up 8.8%
— Days on market: 15
— Sold over asking: 80%
— Average sale price above list: 27%

OAKLAND, CITYWIDE
— Median sale price: $809,000, up 6.5%
— Days on market: 22, down from 28
— Average sale price above list: 12%

All home types, compared with the same period last year. Crocker Highlands, Trestle Glen, Montclair, and Glenview reflect the three months ending June 2026. All other areas reflect the three months ending August 2026. Source: Redfin.

THE TAKEAWAY → Prices vary by neighborhood, but competition does not. Higher rates have made buyers more careful, yet in every one of these markets most homes sold over asking, many by 20% or more.

 

How Preparation Changes the Outcome

In a market this competitive, the difference between a good result and an exceptional one usually comes down to what happens before a home ever reaches the market. Every Cush listing is prepared by our in-house design team, then priced and marketed to create competition.

What This Means for East Bay Home Buyers

Higher rates affect affordability. They also create openings. Some buyers have stepped to the sidelines, which can mean fewer competing offers than you would face when rates are low.

Waiting for rates to fall is not a guaranteed strategy. The Fed has signaled that another increase this year is possible, so relief may take longer than many buyers hope. And when rates do ease, buyers tend to return all at once, bringing more multiple offers and more upward pressure on prices. Buying while competition is manageable can put you in a position to win the home you want, not the one that’s left.

Choose a home and a monthly payment that work for your life today. Shop more than one lender, since even a small rate difference adds up over the life of a loan. If rates come down later, refinancing may give you a second opportunity. Date the rate, marry the home.

 

What This Means for Home Sellers

For sellers, the message is equally encouraging. Buyers are active, and in our strongest neighborhoods they are competing hard for the right homes.

Today’s buyer is also more discerning. With higher monthly payments, buyers want a home that justifies the stretch. Preparation, presentation, pricing, and marketing carry enormous weight. A beautifully prepared home that comes to market with the right pricing strategy can have a very different outcome from a property that isn’t positioned correctly.

 

There Is Rarely a “Perfect” Real Estate Market

In more than 25 years of selling homes in the East Bay, I’ve learned that rates, prices, and competition almost never line up perfectly at the same moment.

When rates are low, competition is fierce. When rates are higher, buyers can find opportunities that disappear in a frenzy. And as the current East Bay numbers demonstrate, desirable homes and neighborhoods can continue appreciating even in a higher rate environment.

Rather than trying to time the market, ask a better question: does buying or selling make sense for your life and your finances right now?

 

The Bottom Line

The Fed raised rates, but mortgage rates did not simply jump by the same amount, and the East Bay real estate market has certainly not stopped moving. Across Oakland, Piedmont, and Berkeley, we continue to see steady demand, strong competition for well-prepared homes, and year-over-year gains in value.

There are opportunities on both sides of the marketplace. The strategy simply needs to fit the market we’re in today.

If you’re weighing a move, I’d welcome the conversation.

 

Warm Regards,

DAVID HIGGINS
Founder & Realtor, Cush Real Estate by Design
(510) 398 1992 | [email protected] | DRE #01281543
cushrealestate.com

Market figures sourced from Redfin, Zillow, and Freddie Mac as of September 2026 and deemed reliable but not guaranteed. You will never receive wire instructions or changes to previously provided wire instructions from Cush Real Estate by email. Never wire funds before calling your escrow officer at a phone number you have independently verified.