If you are ready to buy a house and would like to do this within the next year, waiting for a certain time period might offer the best results for you. There are times when buying a house is more beneficial for the buyer and not the seller, and waiting for these times can help you pay less for the house you want to buy. Here are a few things to know about the timing of your home purchase.
January is often the best month to buy a house
As a buyer, your best bet to paying the lowest price on a house is by waiting until there is a slump in the market, and this usually occurs during the winter. Statistical information reveals that buying a house in January is the best time for buyers, and this is because home prices usually dip during the winter months. During this time, there may be a lot of homes for sale and few people looking to buy them, and this is one element of a buyer's market. Buying a home during a buyer's market is also the best time for anyone that wants a good deal on a house.
Reasons house prices drop in the winter
The majority of home sales occur during the spring and summer months, and this is often when home prices are the most expensive. Here are some of the reasons this occurs:
- Supply and demand – The law of supply and demand in real estate has a lot to do with prices. As supply of homes increase and demand for them decrease, prices will drop.
- People do not like moving in winter – Moving in the winter is not as easy as moving in the spring or summer, and this is another reason home prices drop.
- People avoid moving during school years – A lot of families will also time out their moves so they do not occur while their kids are in school.
Homeowners that are trying to sell during the winter will often lower their prices or accept reasonable offers simply because they are tired of waiting.
Taking the step of buying a house can be a great decision, and you might be able to save a lot of money if you time out your purchase right. To learn more about homes for sale and the housing market, contact a real estate agent and set up an appointment to discuss your needs.