Although the days are becoming shorter, the list of favorable situations for buyers may be growing. After a challenging year for home buyers, which saw many give up, fall appears to be on its way to bringing some good news to those who are still looking or are willing to give it another shot.
If you’re looking to buy a house, Graana.com brings you a few reasons why now might be a good time to do so.
Rise in the Number of Available Houses for Purchase
A prolonged shortage of properties for sale has been one of the major annoyances for buyers. Due to the ambiguity surrounding COVID-19, prospective sellers delayed marketing their homes in 2020 and early 2021 but are now gearing up. Their apprehension coincided with a surge in buyer demand, fueled by historically cheap loan rates. Homebuyers are more likely to find a good deal on the house in the fall. There usually are fewer bidders, and listings that have been on the market for weeks or months often see price reductions. In 2020, COVID-19 set the real estate trend off, but by fall 2021, things appear to be returning to normal.
Slower Price Appreciation
Following a year of soaring house prices, the rate of increase has paused. Even if the pace of month-to-month price growth appreciation remains in record territory, the deceleration is notable given the previous year’s white-hot market.
The end-of-summer easing could provide a welcome reprieve for purchasers. For the time being, interest rates are still at record lows. Low loan rates increase your purchasing power and make a home more affordable, significantly when price appreciation slows. While mortgage rates are still near historic lows, the downward pressure that has kept them there is beginning to ease.
A half-point rise in the interest rate, such as from 3% to 3.5 per cent, would result in a 6.5 per cent increase in your monthly mortgage payment. The additional cost may not seem like much on smaller mortgages, but it can soon mount up on larger mortgages.
Sellers Wish to Close Before the Year-End
While a home is where a person lives and creates memories, it is also an investment with tax implications. A house seller may want to take advantage of a gain or loss this tax year, so you may come across homeowners trying to close before December 31. Look for postings that provide incentives to close before the end of the year and ask why the seller is selling. Businesses may also be giving end-of-year discounts on large-ticket items like appliances, which might assist reduce move-in costs if the home’s appliances are outdated or not included in the sale.
Cheaper Repairs
If you’re looking to buy a house that needs new carpet, paint, appliances, or other upgrades, buying in the fall could save you money on top of the purchase price. In the fall, many of these things are at their cheapest.
You may be able to negotiate price concessions from the seller on cosmetic issues such as old carpets, fading wall paint, or obsolete appliances that surpass the cost of the upgrades, saving money on the house while also getting brand new paint, carpet, and appliances.
Harsher Weather shows the Accurate Picture
Because imperfections are more visible in the fall and winter, it’s a great time to see a home’s authentic characteristics. In the winter, you’ll be able to observe if the heater is working correctly or if it’s creating heating dead zones. Alternatively, you’ll be able to observe if the house is draughty or has structural difficulties covered by vegetation or flowers.
It’s preferable to see the house’s problems before making an offer than to be startled months later. In fact, the best time to evaluate a house is while it’s raining or snowing because any severe flaws are more likely to be shown.
Your Realtor Has More Time
Another advantage of looking for a property during a slower time of year is that most realtors aren’t as busy at that time. A good realtor will always make time for their clients, but having fewer purchasers competing for their time with calls, emails, and viewings will make things easier for you. Engaging with a realtor that has some extra hours makes everything a little smoother, from a more flexible schedule to more concentrated attention on your wish list.
Every season has its advantages and disadvantages for house hunting, but fall is likely to be your safest bet from an economic context. The fall season presents positive possibilities for purchasers, but always do your research and only buy when the moment is appropriate for you.
