Did you miss out on your perfect starter home in prime real estate grabbing seasons like spring and summer? Don’t worry– you may just be in luck. According to recent Trulia data, starter home inventory actually increases by around 7% in the fall compared to the spring, which “leads to listing prices that are about 4.8% and 3.1% lower in the spring and winter than in the summer.” For example in San Jose, Calif., starter homes are listed 11.1% lower in the off season than during peak spring and summer months. Thus resulting in fall emerging as prime house hunting season for first-time homebuyers.
Need more convincing as to why you should consider shopping for your starter home? Below we are sharing some reasons why fall can be a great time to buy:
Traditionally, many sellers list their homes in the spring hoping to secure appealing offers over the summer months. Some ambitious sellers may have initially priced their homes too high, leading to a series of price reductions during the following months. Feeling rushed to sell their homes before the holidays arrive, sellers may further lower their prices– perhaps even below the home’s market value.
Most families do not want to move their children during the school year, meaning they are no longer in the market for a new home come fall. Fewer buyers lessen the competition and provide more opportunities for potential homebuyers during the fall months.
End of the Year Deals
Home sellers can be motivated to sell their house before New Year’s Day, in hopes of taking advantage of tax benefits. Ask the seller’s real estate agent why the homeowner is selling and look for opportunities to make your offer more appealing, or look for listings that offer incentives to close prior to December 31st.
Generally, homes don’t show as well during the fall once their beautiful landscaping has faded, which can help lead to reduced prices. Spring time often shows a house at its best and most appealing, whereas fall can show the homes flaws or problem areas more visibly. This presents the best time to complete a property inspection because the home is exposed to the more weather-testing months and gives homebuyers a realistic idea of what living in the house will be like.
Interested in buying a home this fall? Contact a loan advisor today to learn more about your financing options.