The fall may be notorious for a slowdown in the housing market. But for home buyers that shouldn’t mean they should go into early hibernation. For home shoppers, the fall likely will be the best time to buy.
Lower home prices – October can offer the best month for home deals, according to research by RealtyTrac of more than 32 million home sales over the last 15 years. In October, home buyers paid 2.6 percent below the estimated market value at the time for their homes, the study shows. In other words, on a $300,000 home, they could save $7,800 by purchasing it in October.
Less competition – The home buyer rush from the spring and summer is over. Home shoppers this summer who were rushing to find a home before school started have already found one. Fall home buyers will have less competition. Many folks will drop out of the market until after the new year.
More leverage – Home sellers in the fall may be more pressed to sell. They are generally people who need to sell, which can make for better negotiations for the buyer. The longer a home lingers, the more negotiating power the buyer likely will have. Plus, some sellers may want to get settled in their new home before the holidays and have more incentive to make a deal sooner rather than later.
Year-end tax credits – Home buyers who close on a home by the end of the fiscal year may find a nice tax deduction awaiting them on April 15. They may be able to deduct closing costs, property tax, and mortgage interest to offset their taxable earnings.
DAILY REAL ESTATE NEWS