Looking to Buy a Home? Fall is a Good Time to Purchase
August 9, 2021
Spring is traditionally viewed as the time to buy a home because of the boom in inventory. However, the increase in inventory is often a result of the perception that houses show better during the warmer months. The flowers, shrubs, and trees are beginning to bloom, boosting the property’s curb appeal. In addition, buyers with children often like to start looking for properties in the spring because it is around the end of the school year and parents don’t have to worry about potentially moving their kids in the middle of the semester.
However, spring may not be the best time to buy. An overly busy market with large amounts of inventory can result in bidding wars. Homebuyers often pay more in the spring than in any other season because it is often a seller’s market. If you are looking to save money on a home, fall may be the best time to buy. According to Realtor.com, an analysis conducted by RealtyTrac found that buyers paid 2.6% below estimated market value in the month of October. By the time fall arrives, houses have typically been on the market for a longer period of time and sellers have become weary. Consequently, sellers may be more likely to cut deals to part ways with their property. Fall is also a good time for first-time homeowners to purchase property. According to Trulia, starter homes are more often listed in the fall than in the spring and hit their peak in October.
While there may be less inventory in the fall, there is also less competition. Most of the spring and summer homebuyers have either bought a home already or have put their search on hold until the following spring. This, in turn, gives fall buyers greater power when it comes to negotiating. Another perk of buying property in the fall is that sellers are looking to sell before the holidays. Sellers don’t want the added stress of having showings during a busy holiday season, and they want to be settled into their new home before it is time to host family gatherings.
Year-end tax credits are another good reason to consider buying in the fall. Those who purchase a home later in the year are often still able to deduct closing costs, property tax, and mortgage interest from their taxes. Additionally, according to Consumer Reports, major appliances are often most deeply discounted in December.
Fall is ultimately a great time to buy a home because it offers the potential to save quite a bit of money and to take your time during the search process.