When is the right time to buy a house?
Buying a house is often a matter of timing. Your local residential housing market responds to several factors both local and national. When you’re looking for a home you may be wondering if the time is right, and often asking when is the right time to buy a house? Aside from personal factors such as having a down payment and overall financial health, you also have to look at the local market’s current status before buying. Other questions you could be wondering include Should I Sell My House First, Or Buy a New Home First? or even What Is The Relationship Between Mortgage Rates And Housing Prices? Now, buying at the wrong time can decrease your selection of home choices to choose from and further increase the price you’ll have to pay. Here are the keys that you should know of when wondering what time to buy a house.
Home sales fluctuate throughout the year. In general, more homes are sold in the summer than in the winter. The time of year you decide to buy a home affects several factors including the number of homes on the market and ease of moving. For families with school aged children, moving in the summer is far easier when school is not in session. However, despite this being conventional wisdom every market is still different and a more competitive summer market may cause you to miss on a better deal in the winter. Also, local demographics can affect trends as well; i.e. in warmer areas like Charleston, homes will tend to still sell well in the winter.
The key factor to keep top of mind is that there is no perfect time to buy and you should always seek the advice of a professional and knowledgeable realtor as they are aware of not only your needs but of the local market and various factors that affect it.
The right time to buy depends a lot on where you are in your life. There are several personal and professional factors that should be considered before you make a decision concerning home ownership. These can include the following…
- Fees And Home Upkeep: There’s more to a home than just the monthly mortgage. Homes have many related expenses including upkeep, home repair, utility costs, and related property taxes. A realtor can assist you in calculating these costs which gives you a more exact picture of what you can realistically afford.
- Are You Planning To Stay In The Area For a Long Time? : One of the best times to buy a house is when you’re in an area you plan to live in for the foreseeable future. That being said, this doesn’t mean living there forever or requires you to stay there and never move again. However, if future plans (be they personal or professional) involve selling your home, buying a smaller home may be advisable. In many markets, smaller homes have the greatest appreciation in value and tend to sell faster.
- Personal Finances: Lastly, always carefully review your finances before purchasing a home. A professional realtor can give you a better idea of what you can afford, home ownership expenses for an area and property, and how large of a down payment you should realistically have.
No matter what time you choose to buy a home, always hire a professional realtor. The correct time to buy a home depends on not only your personal finances and life situation but also the overall market trends. A knowledgeable realtor will know the status of your local market including the number of homes for sale, the current market value of these homes, popular locations, areas of high growth, and current finance trends like mortgage rates. By working with an expert you can buy a home when it is the right time for you.