Most selling transactions occur during late Spring and into the Summer. This makes sense because the kids are out of school, and it gives plenty of time to shop around for a new home. Sellers know this and that is why most homes are listed during this period. Lots of deals are going around.
However, because there is a higher demand for homes in the Spring and Summer, there can be a pricing dynamic. Because of this demand, sellers can be pretty firm on price. So, should you, as a buyer, also buy during this period when there are more choices? Good question.
First, follow the advice of your real estate agent. Markets can and do vary depending on location and other factors. But in general, there are some things that do not change based on location.
Okay, so there are more homes to choose from but the prices are pretty firm. Should you wait and think about buying in the “off-season?” Say later in the Fall and into Winter?
Sellers who list homes during this period might also be a bit more motivated. Yes, there will be fewer homes for sale but the sellers who list during the Fall and Winter know that they’re selling in the off-season but there’s probably a very good reason or two for them to do so.
You might be able to get a better deal when the sellers are motivated to sell during this time period. Again, your agent is your guide here but buying in the Fall and Winter just might snag you a lower price on the home compared to the same home listed in the Spring or Summer.
So that’s the issue here. Yes, in the Spring and Summer, there will be more inventory from which to choose but on the flip side, they’ll likely be pretty firm on price.
One final note here, there’s always the possibility interest rates will be higher. You never know and anyone who claims to know where rates will be at some point in the future is lying to themselves. Yes, general economic trends might indicate where mortgage rates might be but there are also various external factors that can pop up.
The right time of year, whether it’s in season or not, is when you’re ready to buy. Don’t buy a home based on the time of year, buy when you’re really ready.
