Properties for Sale: When is The Right Time to Buy a House?
What is the Best time of year for Sellers to put their home on the Market? What is the Best time of year for Buyers to purchase a home? While some people enjoy the simplicity of renting an apartment, condo, or home, the median net worth of a homeowner weighed in at about $255,000 while that of renters sat at only $6,300.
So owning a home in the United States is still the single biggest signifier of long-term financial stability.
If you are new searching for houses for sale in West Hartford, CT, or have been on the sidelines during the pandemic, there is an ebb and flow to properties for sale. In some months, they’ll be less inventory but better deals. Other months, they’ll be more inventory but more bidders.
This holds for not only West Hartford but Farmington, CT; Bloomfield, CT; and Avon, Connecticut and Hartford’s West End
In the following article, we’ll look at the best time to buy and when to search for houses for sale in Connecticut. This market is behaving differently than it has in the past. The Strong Sellers market continues and housing inventory remains at extremely low levels during the Spring Market for 2022. Even with the increase in mortgage rates to over 5.5% fixed for a 30 year, inventory remains low, home prices continue to rise and multiple offers on homes are still the norm.
Connecticut homes for sale are just as impacted by interest rates as every other part of the country. Interest rates are set by the Federal Reserve and dictate at what percentage of interest banks will charge for lending money. Indirectly, this will force the interest rates lenders will charge you for your mortgage.
Due to a surge in inflation (the increase in prices we pay for everyday items and services), the Fed has increased interest rates. These rates were near zero during the pandemic, allowing people to borrow more because they didn’t have to pay as much in interest.
Homes for sale in Connecticut were reportedly up 20 to 25 percent in areas due to low-interest rates, slim inventory, and pent-up demand.
As we roll into the spring and summer, it is yet to be seen if houses for sale will dip in prices as people struggle to finance them under higher interest rates.
While higher interest rates are designed to curb borrowing and lower demand, they can also make it more challenging to get top dollar for a home.
Spring Properties for Sale
If you want choices, springtime is the best time to shop for a home. People don’t want to move from Connecticut in the winter due to storms and weather, so they get ready through the colder months and sell when the flowers bloom. Also, selling now is less disruptive for families looking to switch school districts during the summer. The challenge this Spring is lack of inventory of homes for sale. It is not uncommon on a hot property to have 50-60 showings scheduled during a weekend. This Spring Market home Seller’s often leave for the weekend and put their home on the market on a Friday, schedule back to back showings, Friday, Saturday and Sunday, announce a Highest and Best date/time, then review multiple offers on Monday or Tuesday to pick a winning offer.
Since spring is typically a popular season to buy a home, combined with this Spring’s low inventory you will pay top dollar as people continue to bid property values higher. look over available prospective properties.
End of Summer Deals
Typically, if a home has been on the market through the spring and remains on the market into the summer and has not sold, you will find Sellers may want to reduce their price or take less than they listed for. There is pressure for some Sellers to get their home under contract before the start of the new school year. This means being under contract by August. This season we have been finding that Sellers that have been on the market over 30 days are often taking less than their asking prices or reducing their home prices. Look for potential deals on homes that have been on market for over 30 days. There is usually less inventory in August and September; however, this season inventory has been extremely tight throughout the spring market.
Holiday Special Deals
The most economical time of year to buy a house is during November and December. Home prices are typically cheaper, and people are looking to make deals since it’s a low selling period. However, the inventory is generally scant, and most people often will postpone the sale of their homes from Thanksgiving to New Year’s because they don’t want the headache around the holidays. Those people Buying or Selling Homes during the holidays are typically more motivated and willing to make a deal.
Realtors Near Me
The best time to shop for properties for sale is when you have your finances in order. Keep an eye on interest rates, get your 10% to 20% downpayment in order and lock up your pre-approval.
When that’s done, contact a reputable realtor and start shopping. Your dream home is waiting for you.
Are you ready to start shopping? Contact us today to search for Connecticut homes.