If you have been experiencing the winter blues in your real estate endeavors trust us, you are not alone! However, it isn’t all gloomy news when it comes to buying in the slow season.
Yes, there is less inventory – but there is also less competition!!
Home buyers who purchase in the summer (real estate’s peak season) pay a premium. According to an article in Marketwatch, homes sold in June went for about a 7% premium. December is your best chance at scoring a good deal! Data shows homes sold during this month only went for an average around 1.2% above their market value.
If a seller is listing their home in the winter, chances are that seller is motivated or working against a specific time constraint. Most agents would advise a seller to wait until after the new year to list their homes – however, that is not an option for all sellers! This means you have a great chance of working with a seller who is motivated to work with you. This is the best case scenario as a buyer… and I am not just talking about getting a decent asking price. Negotiating is not over once you get an accepted contract. After inspections, there are typically items that need to be addressed & sellers are much more likely to be flexible during this phase of the purchase when they are not confident another buyer will come along quickly.
FHA or VA buyers have a better chance of getting their offer accepted when the competition isn’t so stiff. Less chance that the home you want has multiple offers and you are going up against cash or conventional loans which are typically more desirable to sellers.
Buying during the rainy season is prime for spotting leaks! Especially in a city like San Diego, problematic areas are well dried up by spring, so the winter months are your best chance to test the waters for any moisture intrusions.