Get free access to our world class MLS search tools, save your favorite listings, create saved searches & much more!

Home-Buying in 2018: Purchase in the Winter or Wait Until Spring?

Posted by Mastura Zaini-Roberts on Thursday, January 4th, 2018 at 7:46am.

The New Year has arrived, and if you’re looking for a house, you might be down to the wire. Should you go all in and purchase now or wait until the spring?

homebuying

There are multiple things to consider before purchasing a house; location, square footage and style are just three of the many factors. Whether or not to buy a home during the winter or wait until the spring is something to consider, as well.

Here are six reasons why it might be beneficial to buy before the flowers start to bloom.

You Face Less Competition in the Winter

Most Americans look for houses in the spring and buy in the summer. Approximately 50 percent of all homes are sold during the summer months. Why? Well, many people prefer to close on a home purchase and move when the children are out of school. That way, they’re established in the new house by the time the new school year starts. Many people also prefer to look when the weather is warmer and there is more daylight in the evening.

As a result, if you purchase in the winter, there will be less competition. Fewer buyers will be out there looking, so you’ll likely face less of a bidding war. Many people also want to close during the winter, as the spring market starts very early in the year.

Sellers Are Likely to Be Motivated

Because the majority of buyers purchase in the summer, sellers may be more motivated in the winter. This is especially true if they need to be out of the house due to a job relocation or other consideration with a specific time frame. A motivated seller is good news for a buyer. You can get them to sweeten the deal, either by coming down on the asking price or throwing in some goodies.

Does it look like the stove or refrigerator may need replacing soon, for example? You can ask the seller to purchase a new one as a condition of your purchase. The same goes for a number of other things you might have to upgrade or replace soon.

Interest Rates Are Likely to Rise Next Year

Interest rates, of course, have a large impact on your house payments. The higher the interest rate, the higher the payment will be. While the direction of interest rates is never certain, many observers think that interest rates will rise some time next year. The U.S. Federal Reserve, the government body that sets interest rates, meets several times per year. Not only that, but they meet multiple times a year and tend to hike interest rates in a strong economy to prevent inflation. They could raise interest rates several times next year. In other words, the sooner you buy, the lower the interest rate you can lock in is likely to be.

Housing Prices Are Climbing

In general, housing prices have been climbing steadily over the past several years in most areas of the country. That trend is expected to continue, fueled by the strong economy. If it does, housing prices are likely to be higher by the spring.

Each region and area varies, of course. It’s always wise to check the direction of housing prices in the location you want to buy in by contacting your real estate agent.

Inventory Shrinks in the Winter

Because fewer people look in the winter, many real estate agents and sellers act accordingly. They remove houses from the listing market in the winter, waiting for spring to come. There are approximately 10 percent fewer houses on the market in the winter.

You may have fewer housing options if you’re looking in the winter, but you can ask your real estate agent if they know of any homes that were on the market but withdrawn by sellers. If the sellers are planning on putting their homes on the market as spring approaches, you could be the early bird.

Should you purchase a home now or wait until it starts to get warmer outside? There are many things to think about. The decision depends on what is best for you and the home of your dreams. Happy hunting, in whatever year you choose!

By Megan Wild

 

 

Mastura Roberts
(702) 919-5400
offers@greatlasvegashomes.com

Team Leader, The Tonnesen Team
Berkshire Hathaway HomeServices, Nevada
3185 St Rose Pkwy #100 Henderson, NV 89052

With over 30 years of experience helping families call Las Vegas "home!"



Related Blog Posts

The Big Challenges Home Buyers Face in 2017

What are the top challenges your home buyers face this year? A recent survey from realtor.com® reveals the following: 1. Low inventories: There aren’t enough homes for sale and inventory woes are expected to worsen this year. Active inventory in December 2016 on realtor.com® dropped 11 percent compa...

Finding Homes for Sale in the Best Las Vegas School Zones

Spring is upon us, and families all across the country are once again gearing up to make a move at the end of the school year. For those relocating from out of state, it can be hard to determine which schools are the BEST Las Vegas schools for their kids from a such a distance. Fortunately, the Clark County School Dis...

5 Las Vegas communities among top 50 in US for new-home sales

Five Las Vegas Valley communities cracked the top 50 nationally for new-home sales last year, new reports show. Leading the pack locally was Summerlin, where builders sold 1,052 homes, up 37 percent from 2016, according to separate reports this week from two firms, RCLCO and John Burns Real Esta...

Beware Homeowners - Judicial Foreclosures Come to Las Vegas!

Nevada has always been a non-judicial foreclosure state.  If a borrower was past due, all the mortgage holder had to do was produce copies of the appropriate documents and file foreclosure notices, and within approximately 5 months the foreclosure sale took place at the county steps. There was no right of redemption f...

February is Best for Housing Bargains

Typically winter months have a higher number of housing bargains due to stressful weather conditions and lack of competition, with February coming out on top as the month with the most housing deals. In fact, a recent study by Attom Data Solutions looked at the sales of 50 million homes from 2000 through 2016 and...

Leave a Comment

Have a Question?

Contact Us

Follow Us