Why the Best Time to Buy a House is in the Fall
Our CEO Tim Ross recently sat down with WXYZ-TV Channel 7 to discuss why fall is a great time of year to buy a house and share what homebuyers can do to set themselves up for a successful house hunting experience.
If high prices and bidding wars left you empty handed in your pursuit for the perfect home this summer, don’t give up hope! While it can be easy to lose courage when competition is fierce and inventory is low, it’s not too late to find a home to call your own. You’d be surprised how the changing seasons just might change your luck. When it comes to the best time to buy a home, fall may be your window of opportunity. Continue reading to find out why.
Benefits of Buying a Home in the Fall
Since spring and summer tend to be a popular time of year to buy a house, there are often more buyers competing for a limited supply of houses on the market, which can drive up prices and lead to bidding wars. While home sales tend to rise with the temperature, fall is the best time to buy a house if you’re looking for a deal.
Here are some other benefits of buying a house in the fall:
Competition for houses tends to drop off in the fall. Sellers who listed a house during the warmer weather start to feel pressure to sell their property. This, coupled with fewer buyers, often makes sellers more willing to negotiate. And with holidays just around the corner, people are motivated to sell so they can move into their new home just in time to host this year’s Thanksgiving dinner.
You’ll have more time to evaluate your options. Less competition also means buyers have more time to evaluate their options before putting in an offer, which can be an advantage during one of the biggest purchases of your life!
While this doesn’t hold true every year, interest rates tend to be lower during the fall and winter months. And with interest rates hovering near historic lows, you’ll have a better chance of getting a great rate with a lower monthly mortgage payment—saving you more money in the long run.
Mortgage lenders and other real estate service providers tend to be less busy this time of year. This gives them more time to focus on you. Not only will they be able to respond to your requests more quickly, you may enjoy a faster closing, too.
Fall is generally the time of year when appliances, furniture and home-related costs like moving companies are most affordable. This can make fall the perfect time to move, furnish your home or tackle some home improvement projects after purchasing a fixer upper.
All of the above point to why purchasing a home in the fall is ideal, but year-end tax credits might be the best bonus of them all. One of the perks of homeownership is the ability to deduct certain expenses on your tax return. If you’re serious about buying a home, try to close the deal before the end of the year so you can write off qualifying expenses when you file your taxes in the spring.
Tips for Buying a Home in the Fall
If you’re will to take the home buying plunge during the fall season, make sure you plan ahead. To ensure your home buying experience is as smooth and seamless as possible, work with a lender to get pre-approved. This way, you’ll have a better understanding of what you can afford and realtors and sellers will see you as a serious homebuyer. When combined, this will help to increase your bargaining and negotiating power.
While there tends to be a lower supply of move-in ready homes on the market in the colder months, that’s no reason to give up hope. Get creative with your search by considering all of your options. If you find a house that you like, but it needs a little work, don’t let that deter you. Whether the house is in need of some repairs or simply needs to be updated, there are home renovation loans that allow homebuyers to bundle their home improvement costs into their mortgage loan. This way, you can easily turn any house into your dream home, without dipping into your savings.
Buying a home in the fall will save you time, money and stress. Send us a message to get pre-approved so you can start searching for your dream home as soon as possible!
