Is There a "Good" Time of the Year to Buy or Sell?
or is that just a real estate myth?
The short answer is: it depends. On what? On location, on the type of property, on the current market. Examples? Rural properties don’t move as well as soon as there is snow on the ground. Neighbourhoods where the focus is on the school district, and kids starting school in September, might be slower to move in January than in August.
Ultimately, the real estate market generally, which used to only experience a serious uptick in the market in the spring, is seeing similar movement in the fall, over the last couple of years. And of course, there are properties that move all year long, particularly condos.
That said, there are some general rules around buying and selling that might help you to decide when to put your place on the market, or when you want to start looking, assuming you have the luxury to pick your timing.
best times to buy a property
While it might seem odd to think about buying a house in February, it can actually be the perfect time. While there isn’t as much inventory available through the winter, there aren’t as many buyers either so you might avoid a bidding war. If you’re looking in the condo market, landscaping isn’t an issue, so you can really be on the lookout any time. The other benefit is that sellers are usually motivated in the winter and with fewer buyers looking, it’s an opportunity to negotiate.
In addition, winter is when you’ll see the flaws of a house more easily. Everything looks like roses and blooms in June, but in February, you’ll get a sense of which rooms are cold because the windows are old and drafty, where there might not be sufficient insulation and ice damming is resulting, or where there is pooling of water, ice and drainage issues that could be a problem down the road. You can also see, without the foliage of summer, which neighbours can see directly into the house!
If you’re buying in the spring or summer because you’re on a deadline to get junior into the local school, just make sure you have all your i’s dotted when it comes to financing. You need to be ready to jump at the right place, with more competition from other people looking.
best times to buy a property
Getting on to the market before everyone else does is good: there is less inventory for buyers to choose from, so they’ll give your property a hefty dose of consideration. Since spring is a very popular time for people to list, getting in a little ahead can give you some leverage. If you miss it and your home isn’t focused on families as buyers, you might want to wait for the autumn, when there is still quite a bit of activity but not so much that your property will get lost in the crowd!
The spring also brings excellent curb appeal for many homes, with the blooms out and the lawns back. It means more work to get your property ready for showing, but with the natural decor in play, people can more clearly see themselves living in the space.
If families buy in your area largely because of the schools, going to market in the late spring / early summer makes sense: plenty of time to arrange the sale, close and move before Labour Day. As spring wears on, there is more inventory—and therefore competition—but there is also a lot of demand. It really depends on how risk averse you are! Families also prefer summer moves, so they don’t have to pull kids out of their current schools in the middle of the year. If your home is likely to be marketed towards families, the timing is important!
The worst time? December. Nobody is paying a lot of attention unless they have to move to your area for work reasons, so if you’re looking for a lot of interest in your property, it’s the month to avoid if you can. If you do find you need to sell your home in the winter, know at least that you are likely to be dealing with buyers who are serious, rather than the tire-kickers that the hazy, lazy days of summer can bring on. And at least you can leverage the heart-tugging beauty of holiday decorations to make your home look like a winter paradise.
None of these are hard and fast ‘rules’. If you’re worried about having to buy or sell at a time that doesn’t feel ideal, just remember that lots of people sell or buy, even when it’s not the best time of year, for a variety of reasons: changes in circumstances, job, financial and so on… but here’s the thing: the very same reasons that are forcing one person to list could be the same ones that force another family to come looking.
May 1, 2020
