It’s not necessary to purchase “perfectly” during the busiest week.
The idea that spring is the ideal season to purchase a property is a common misperception in the American real estate market. Actually, spring is good for sellers.
Since we all refer to it as the spring buying season, the majority of homebuyers believe that this is the ideal time of year to purchase. “However, when you look at housing market metrics, the fall is a much better time for buyers to get their foot in the door,” Ralph McLaughlin, senior economist at Realtor.com, told FOX Business.
According to Realtor.com economists, the final week of September through the first week of October is the ideal time of year to purchase a property nationwide. McLaughlin did point out that you don’t need to “hit that peak week perfectly.” According to him, customers will prefer any time in the fall to the spring.
He listed a number of reasons why buyers should target the fall, most notably the fact that the supply and demand imbalance that typically occurs near the end of the year benefits purchasers.
Since many individuals are returning for the school season, there are more homes on the market than buyers. Buyers who have school-age children usually avoid moving during this time or have already moved earlier in the year, according to McLaughlin.
Additionally, you have other houses that are still for sale but didn’t sell earlier in the year. This could be caused by a number of things, like a seller listing their house too late or at an excessive price.
McLaughlin predicted that some vendors will “be a little bit nervous” as fall draws near, which will increase their “willingness to cut prices.” Consequently, a greater proportion of residences with price reductions are put on the market.
Additionally, homes are remaining on the market longer, allowing purchasers to take their time. According to him, purchasers aren’t under as much pressure to settle or close on a property right away as they were during the pandemic’s peak, when homes were rapidly seized.
“I am aware that during the pandemic years, when it was a slow year, residences were closing in a week or two. “That has been altered,” McLaughlin stated.
According to McLaughlin, the average home now stays on the market for two to three months, so purchasers should make the most of this period.
Price reductions indicate flexibility, which gives buyers the chance to haggle, even though borrowing rates may still be high, McLaughlin said.
“You can leverage the abundance of homes that are on the market to your advantage and in potentially getting a price cut or getting other concessions,” he stated.
Negotiating a rate buydown, which is an agreement where a buyer receives a lower mortgage interest rate in exchange for an upfront fee, is one example of what this could include.
