A common question I get asked is “when is the best time to buy a home”? Well, this blog post will touch on that, although there is no one specific answer all the time.
The final few months of the year can present some great values and buying opportunities in the housing market. Why is that? One reason is less competition. For many, the holiday time is really busy with year end work parties, family gatherings and travel so moving isn’t at the top of the priority list. Many will say ‘we will start moving down that path (pun intended) once the holidays are over and we’re into the new year’. This means fewer buyers fighting over homes and with a low overall inventory supply, that is a big bonus.
For Home Sellers, many want to close things out financially before year end for tax purposes. You may be thinking only investors would want this, but that’s not always the case. This equates to more motivation by some sellers, which enhances the negotiation potential for a buyer.
Right now we are wading through higher mortgage interest rates than most have been accustomed to so that has kept many would be buyers on the sidelines, but the tide will turn. When it does, I believe there will be a plethora of buyers entering the marketplace within a short time period. With the already mentioned low supply in the market, this could make for skyrocketing home prices once again. Those that strike now will indeed have to contend with higher rates, but that’s where an interest rate buydown comes into play (and sometimes a seller will pay for that with concessions). They will also buy the home they want without overbidding or missing out on a dozen before doing so.
Every year will have its own nuances, but more often than not we look back and can say our clients who purchased in Q4 did well! After all, we usually see pricing dip a tiny bit in the 4th quarter before rising in the first half of the next year.
Thinking about a move, but unsure where to start or what could be possible? Let’s have a conversation. It costs nothing to get educated on your options!