Why Winter is a Good Time to Buy Real Estate
The advantages of buying in the "off season"'
It is a commonly held belief that the best time to sell your home is during spring. House hunters come out en masse with the sun shining, the birds singing and the bees pollinating.
Statistics from CoreLogic RP Data show that despite the number of homes on the market dropping during the colder months, the auction clearance rates remain the same, if not higher than during spring and summer. With this in mind, does it make winter a better time to buy?
Coinciding with the decreased number of homes on the market, there are often fewer buyers too. This can be an advantage for those looking to purchase property, because there could be less contention for your dream home. This can often mean that you're not rushed into any rash decisions, as you are allowed more time to make an informed choice.
With the smaller market, sellers may feel more inclined to accommodate their conditions for potential buyers, such as the terms of sale, price, closing costs and the handover date.
Agents are More Available
An additional benefit of buying in the off-season, is the reduced demand for property means that industry professionals will have less on their plates. Because of this, they will have more time to focus on your search for a new home.
How Does it Perform in the Wet?
Another advantage of buying in winter is that you will be able to see what the home is like during the colder months. In most cases, you are going to be living there for the long term, thus, you want to be aware of any potential problems the future might hold. A damp home is not good for your family's health, not to mention your own. The NSW government recommends keeping an eye out for:
- Mould on skirting boards, walls and ceilings
- Walls and ceilings that aren't completely flat
- Recent paint jobs to cover mould
- Windows and doors that are catching in their frames (indicates damage from dampness)
What's the current property market like?
The historically low cash rate has made mortgage repayments easier to manage for investors and owner-occupiers, meaning the property market of late has been competitive. However, there are possible developments on the horizon as the record interest rates have remained unchanged over the last few months, with signs that an increase could be on the way.
All things considered, it seems to be a good time to take advantage of the low rates while they endure, not to mention the favourable winter conditions!