This is a guest post written by Sam Radbil, a contributing member of the marketing and communications team at ABODO, an online apartment marketplace.
According to a report from the National Association of REALTORS®, 5,760,000 homes were sold in 2015. But when is the best time to buy a home? With a brisk chill in the air, not many people think about searching for a new home in the winter months. The holiday season, inclement weather, and busy schedules often deter people from entering the real estate market until the first signs of spring start popping up. However, winter is often the best time for folks to begin their lengthy quest to become homeowners. Before you put off your dreams of owning a new home, here are a few reasons why winter is a good time to take the plunge.
1. The Market Is Less Crowded
Everyone else’s attention has been drawn away by holiday parties and visiting loved ones. A slower market means you’ll have less competition when visiting open houses and putting in that offer on your dream home. Time magazine claims that January is the best month to put in an offer on a house. You might even be able to negotiate a better deal, as sellers will be eager to get their houses off the market.
2. You Can Inspect The House More Thoroughly
Colder weather brings out a house’s odd quirks, from frozen pipes to hidden drafts. Although you should always have a professional inspection done, you should also take the time to visually inspect as much as you can. You might be able to negotiate to have these repairs covered by the seller, whereas they might not have even been noticed in warmer months.
3. Your Realtor Has Time To Cater To Your Needs
With the slower business season, your real estate agent will not feel rushed while finding homes that meet your specific needs. You can take your time as well, and avoid undue pressure to complete the deal. This extra breathing room will give you the confidence to make the decision that is right for you.
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4. Mortgage Rates Tend To Be Lower
When the market cools off every winter, so do the mortgage rates. You might be able to lock in these rates much more easily as well. Currently, the average interest rate ranges anywhere between 3.39% and 4.13% depending on what type of mortgage you apply for. Lenders are also eager to approve mortgage loans in the seasonal slump, so your application will not get lost in the shuffle.
5. Sellers Are Extra-Motivated
You know how it is: At the end of the year, people take stock of the year behind them, examining what they did (and didn’t do) over the previous 12 months. People who are selling their homes are just like everyone else. They didn’t sell their home in peak season, and they want to tie up loose ends before the year’s over. That’s good for you as a buyer — it gives you leverage, and often leads to a quicker negotiation.
A little bit of chilly inconvenience might actually save you time and money in your house search. Go ahead and brave the elements, and as a result you will find a home you can be proud of, at the right rate.
ABODO was founded in 2013 in Madison, Wisconsin. And in just three years, the company has grown to more than 30 employees, raised over $8M in outside funding and helps more than half a million renters find a new home each month.
