Now that summer is winding down, it’s time to turn our attention from poolside relaxation and backyard barbeques to football, flavored coffees, sending the kids back to school, and… home buying?
If you’re looking to find a deal on a new home, now is the time. While summer might be the most popular time to buy a home, for the savvy home-shopper, September is when the real prime buying time begins. Not only has the competition for homes eased, but you can take your time and choose at your leisure.
Here are our top five reasons for why you should look for your next home this fall.
1. Take your time
Don’t worry, there’s no rush. When you wait until school is in session, you can take your time as you look for the perfect home—and even more importantly, you can make a careful and reasonable offer, without rushing into anything. This will help you to avoid any chance of buyer’s remorse due to jumping on a home, and more opportunity to inspect and review critical problems that might come back to haunt you later. (We’d like to avoid finding any surprise mold in the attic.) When you buy in the fall, there’s less pressure to make an instant decision, and more time to consider your options.
2. Less competition
Once the kids go back to school, there will always be fewer competitors vying for the same homes, especially in 3+ bedroom homes. Parents with children are concentrating on getting the kids to school and extracurriculars, and often not on relocating at the beginning of the school year. This can result in a sharp drop-off in competition for homes.
3. Buyer’s market
In a slower selling season like fall, the buyer is able to ask for more concessions from the seller to truly get the best deal. Buyers can ask for money towards closing costs, repairs, remodels, or extending a closing timeline. Any way you look at it, it’s definitely an advantage to be looking in a slower market. Now is the time to ask for reasonable concessions when you’re looking to buy a home.
4. Prices drop to match market value
Speaking of negotiation, homes that are overpriced during the summer months are less likely to sell with all the summer competition. As September approaches, many sellers are willing to consider dropping the price just to make the sale. Homebuyers can expect to see reasonable drops in price from late August through October, so if the home you want hasn’t dropped in price, it’s worth doing some research with your real estate agent and submitting an offer that might be closer in line with the home’s value.
5. Time on the market
The longer a home sits on the market, the more bargaining power the buyer gains. In a highly competitive summer market, if a home is still available in September or October without selling, chances are you can get a better deal for it. Listings are likely to sit for longer once you reach August-September, so that means that the back-to-school season is the time to look to buy.
If you’re not convinced yet, just think about being able to negotiate that lovely redwood deck you’ve been dreaming of for a fraction of the cost. Then you can enjoy your creatively flavored coffee on a crisp fall morning with a beautiful view of your backyard. When you’re ready to find your new home this fall, contact us, and Park Place Finance will be here to help.