My wife wants to buy a boat. The summer is a horrible time to purchase one though. Everyone is out on the water. The sun is shining. The demand is high for boats, and sellers have the advantage.
My parents just purchased a Jeep Wrangler. The same is true about Wranglers. Don’t buy one in the summer if you want to get a good deal on the purchase price. Buy it in the winter when no one wants to drive around with the top down, and you can drive a hard bargain.
Purchasing a home is seasonal too. It’s all about timing. Supply and demand play a critical role in whether or not you will have to pay the full appraised value of the home or whether you can drive a bargain and get a discount.
Buying a home is the largest purchase most people will make in their lifetimes. We want to do it right, and we are often desperate to score a great deal on our home. Understanding the best time of the year to purchase a home can help you negotiate the price you pay and how big of a discount you can find on a home.
October Is the Best Month to Purchase a Home
RealtyTrac, a leader in real estate data collection, recently released a study of over 32 million home and condo sales over a 15 year period from 2000 to 2015. And, RealtyTrac found that October was the best month to purchase a home. Buyers received a 2.6% discount on their home’s current fair market value in the month of October.
While 2.6% doesn’t initially seem like a lot, it can add up when you consider that the average existing home sale price in the United States is typically $188,900. That 2.6% equates to a savings of over $4,900. That’s over five months of mortgage payments you could save through negotiations and purchasing in October.