The time of year that you purchase your home makes a big difference. Some people will argue that the Summer is the best time to make a deal on a new home, but there is an argument that Winter is better.
Of course, buying in the winter is just as hard as selling. The weather is worse and harder to deal with. Plus, if you have kids, you would have to move them during the middle of the school year. If you are willing to make a few sacrifices though, buying a home could be a very good deal for you in the winter.
Here are some of the reasons to choose the coldest season of the year to make your purchase.
The winter is the slow season, there is no doubt about that. Some will argue that there are less houses on the market to look at and this is true but there are also less buyers on the market. This means that the homes that are out there will be seeing less showings and there will be fewer offers being made. That will drive the prices down. So, you might not have the same selection but what you do find will cost you less, maybe thousands less.
More Realtor Attention
Chances are good that if you are making a purchase in the winter, you might be your realtors only active client. This means that you can schedule viewings as you please and they will be quicker to answer your concerns and questions.
Less Competition For Homes
Less competition for a home, of course, often results in cheaper houses but there is another benefit to less competition. You do not have to rush to a decision. In a hot market, you need to make up your mind fast and make an offer. In a slower market, you have more time to drag your feet. If you find a house that you like, there is more time to investigate the neighborhood and figure out if it is a place that you really want to live.
Short Closing Time
Fewer deals are getting done in the winter which means that you will close faster. You probably will not have to wait weeks for your loan to close like you do in the busy seasons. This should make you and your seller happy.
Easier To Make A Lowball Offer
In the busy season, homeowners might get multiple offers. If they get a lowball offer, it will often upset them and they will not even make a counter. When it is slow and they are receiving no offers, they will be forced to negotiate. So, if you like to haggle a bit, the winter might be more your style.
Everyone knows that it is better to sell a house in the spring or summer. If a person is selling a house in the winter, there is a reason for it. They need the money or need to move. This need to sell means that they will be well motivated. This means they will be more willing to negotiate, make repairs and in other words, they will be ready to make a deal.
Lower Interest Rates
It is possible that you might be able to get an even lower rate on your loan during the winter season. Since there are less buyers, there is much more competition for lenders. This could result in a lower rate. Plus, it is possible that rates in general could go up the following year.
Prices Go Up Every Year
Even if you do not get the great winter deal on a home, you can rest assured that you would pay less than you would next spring. Look at it this way. You may not get a cheaper price than you would have if you bought this summer but you will certainly get a better price than you would next summer.
A More Realistic Look At The Home
Without all of the summer distractions you might get a real good look at the home. The leaves are off the trees, the flowers have long since died and you ca examine the home itself without all of the fluff. It is a better way to judge the bones of a home.
In addition, winter is a great time to judge the efficiency and insulation of the home. Drafts are easier to detect in the winter for example and homes are generally harder to keep comfortable. It will reveal the flaws of a home that you want to know about.
Why Waste More Rent Money
Why spend another $10,000 or more on rent waiting for next Summer to buy. You are ready to buy now, so do so and start earning equity instead of wasting your cash on rent.
Possible Tax Benefits
If you close on your home before the new year, you might be able to take advantage of some tax benefits. It might not be a huge amount with such little time left in the year but even a few hundred dollars off your taxes would be nice. You might be able to write off interest, taxes and even points that you paid on your new mortgage.
You Can Celebrate The Holiday In A New Home
Wouldn’t it be nice to celebrate the holiday season in a new home? Get the deal done in the first part of winter and move right in, just in time for Christmas or perhaps New Years.