Friday, October 25, 2019

My Usual Late Fall Post

Every year, I remind people about the importance of taking advantage of the end of fall in real estate.  As the years go by, I have more evidence, so I speak with more authority, and my message is this:  There are many reasons to buy now, and it's often easier to sell.

Statistically, prices are lower just before the holiday season, and mortgage rates often drop at election time.  Buyers who buy between Halloween and Thanksgiving get the best value for their money, much of the time.  Sellers are often more flexible on price when heating season has begun, and plowing season is around the corner.  Buyers often find that it's easier to expedite a closing when the summer rush is over, and, although the end of the year contains many nonworking days, the fact that we know that going in means that people put a priority on getting closings done.  The end of December is a power psychological marker for both parties.

For sellers, it's the time of year when there frequently a clear choice between selling at a lower price now, or waiting until spring, when prices (but competitive listings) both rise.  "A bird in the hand is worth two in the bush" is never so apt.  Again, the end of the year can prompt sellers to want to move on, and selling can be easier mentally at the end of the traditional real estate season.  Tax considerations are more top of mind, and bills can be higher at the end of the year, giving more impetus to the choice to sell at a lower price.

Real estate agents are also motivated to put transactions together, since they are less busy, and may be able to devote more time to a particular sale.  The same goes for attorneys and mortgage brokers.  So don't discount the late fall.  This may be the time to revisit that "stretch property" and make a run at it.  I did that myself, and have never regretted it!