What is the best time of year to buy a house?
While Spring is renowned as the time that sellers dust off their properties and place them on the market, this doesn’t mean it is necessarily the best time for buyers to go shopping.
Crazy right? Hear us out.
One of the biggest issues with shopping in Spring is that literally everybody is having the same thought as you. There is always a flood of other buyers looking to snag their dream homes, which increases competition and by way of simple economics.. increases housing prices!
We spoke with our buddy Tim Lawless who is the Head of Research at CoreLogic RP Data. Tim explained that there is typically a seasonal uplift in buyer numbers over the last quarter of the year, which means the benefits of a higher number of options to choose from are offset by a higher number of prospective buyers. Tim went on to say:
"Buyers may be better off when there are fewer buyers around in the Winter months, at least from the perspective of being able to negotiate hard on price"
So although there is a lot more to look at during Spring, there isn’t necessarily more to choose from, depending on your individual circumstances and finances. It may be just as beneficial for buyers to look around during slower months, as this will give them more time to consider properties, more time to negotiate, and more time to organise their finance.
“Seasonal factors will always play a part in the dynamic of the housing market, but so too do other factors that are harder to anticipate such as changes in the regulatory framework that might make obtaining finance easier or harder, changes to economic circumstances, or other things that can be absolutely unexpected,” Lawless says.
So... when should you buy a house?
Taking all of this into consideration, the best times to buy are as varied as the people looking.
It is a good idea to assess what’s most important to you before following the crowd.
Tim from CoreLogic shared some parting advice:
“Buyers are probably best positioned to use the timing that works best for them and their budgets rather than waiting for a particular time of the season where conditions might be more or less favourable.”
At Rockstar Finance, we have helped more than one hundred first home buyers finance their dream home! No matter the season, it always works in your favour to be prepared and organise your finance well in advance!
Before you hit the open home circuit, contact Rockstar Finance today and speak to one of the team about how to finance your property purchase!