Sometimes, you have no control over when you buy your home. Maybe you have to move to a new city for a job, or maybe you’re about to have children and need more space. In these circumstances, you can’t worry much about the current state of the Wilmington real estate market or the future of a property’s value.
However, if your home search isn’t as urgent, you might be interested in timing your purchase strategically to get the best deal.
Timing shouldn’t be your only consideration when you buy your home in Wilmington, but it could make a big difference financially. The real estate market will always fluctuate, and buying at the right time may save you tens of thousands of dollars.
Keep in mind that even experts can’t predict the future with complete confidence. You’ll have to be patient while waiting for the right moment, and you’ll never know for sure if you chose the best possible time. However, statistics from over the years do suggest that there are better times than others to buy a home. Here are eight key facts to know:
1. Supply and Demand Both Decrease in Winter
If you live in a region that experiences cold winter weather, you can expect that the number of homes on the market and the number of buyers will both decrease. As a seller, you may have a harder time getting offers during winter because fewer people want to go out in the cold and dark. Likewise, if you get snow, it can affect a home’s curb appeal. This can hurt your chances of buying a home if your purchase is contingent on selling your current one.
While the weather in Wilmington doesn’t swing as hard as the winters in the north, we also see a slow down at this time. Homeowners take their properties off the market to avoid interruptions during the holidays or to take advantage of higher demand in the spring. Many homes on the market during the winter need to sell. This can be ideal for buyers who are willing to withstand the winter weather during their home search. You might not have as many options, but you’ll also have far less competition. Sellers are more likely to accept a lower offer, too.
2. January May Be the Easiest Month for Buyers
January tends to be the month where the winter slump is at its strongest. By this point, many of the homes left on the market from late summer or fall will have closed, and the dreary weather conditions will prevent many prospective buyers from actively searching for houses.
Although moving in January can be challenging, you’re much more likely to have your offer accepted quickly during this time of the year. So, don’t give up looking for homes just because the market is at its slowest.
3. Activity Increases in Spring
By April, more and more sellers will put their homes on the market. Springtime in Wilmington is great for curb appeal, and many buyers are anxious to find homes after laying low through the winter. Spring sales start up pretty early here, because of the moderate climate.
If you’re looking to purchase in spring, you can expect to see plenty of options. However, competition will be much stronger than it is in winter, so be ready to bring your strongest offer.
4. Summer is the Most Competitive Time of Year
Home sales usually peak in the summer. Buyers are more motivated than ever to shop for homes because of the warm weather and long daylight hours. Moving in the summertime is much more ideal than moving in the winter, too.
Also, families often prefer to buy a home in the summer so that their children don’t have to switch schools in the middle of the school year.
There are many practical reasons why people want to buy or sell their homes in the summer. If you’re looking for the best deal, though, you probably won’t find it in this season. Although there will be lots of homes on the market, you’ll be competing against a large pool of other buyers. Sellers are more likely to demand top dollar this time of year. Bidding wars are fairly common also, so you may end up paying above the asking price.
5. Early Fall Offers More Supply and Less Competition
Many experts agree that autumn is the best time of year for buyers. You can typically expect a higher supply of homes in the fall than in the winter, as many homes listed in the summer will still be available. As winter approaches, though, sellers will want to close as soon as possible. They’ll be more likely to accept lower offers and to negotiate with buyers.
You’ll have less competition in the fall than in spring and summer, too. By this point, many families who were anxious to move before the beginning of the school year will be out of the market.
6. You May Get the Best Price in November
An analysis from Zillow found that buyers get the best deals in November. While 26 percent of buyers paid above listing price in April, only 15 percent paid above listing price in November. You may not have as many options in November as you do in the spring or summer, but this month may be your time to get the best deal.
7. Current Mortgage Rates Matter
While month-to-month fluctuations in the Wilmington real estate market may be your main concern when deciding the best time to buy, you should also consider the current mortgage rates. A lower mortgage rate could save you thousands of dollars over the years. In some cases, it may be worth buying a home for a higher price now to take advantage of the mortgage rates.
You can check out the current average rates to determine whether or not now is a good time to apply for a mortgage. Low rates don’t last forever, so you may have to act quickly to get the best deal. You can ask your real estate agent for their input, too, as they’ll be more familiar with the trends.
8. Local Factors May Be Different Than National Trends
While many trends are consistent across the country, circumstances will always be different from city to city or even from neighborhood to neighborhood. Make sure to check out Melanie Cameron’s weekly updates on the Wilmington real estate market to see how homes are selling here.
Looking at data from the last several years can help you see patterns in the real estate market, which will give you the best chances of getting a great deal. What’s most important, though, is that you buy a home when you’re ready to buy a home. You should always consider your own personal circumstances to decide whether or not the time is right. Listen to your instincts, consult with a Realtor you trust, and weigh all of your options before you put in an offer.