4 Cool Reasons to Shop for a Home this Winter
Although spring and summer are traditionally known as peak home-buying seasons, there are several advantages to shopping for a house in winter.
Who says summer is the best season to buy a home? Sure, if you’re interested in having the most inventory to choose from, March through July boast the highest number of home listings. But if you’re looking for a great deal, colder months like December and January can yield the biggest bargains for buyers.
Although housing supply can be somewhat limited during the holidays, the dip in real estate activity could translate to major savings for buyers. Check out these four cool reasons to shop for a new home this winter.
Winter Home Buying Reason #1: Less Competition
Since there are fewer buyers during colder months, winter can be an ideal time to purchase a home. Winter buyers can avoid multiple-offer scenarios and bidding wars that are common in the spring and summer. There is also less pressure on buyers to make a quick decision and rush to submit an offer since there isn’t the same frenzy that can take place during the peak home-buying months.
Winter Home Buying Reason #2: Motivated Sellers
Often, sellers are more motivated in the winter since there is less buyer interest and activity. Real estate agents sometimes recommend a seller wait until early spring to list their home if they can, since winter is known to be a slow time for real estate. But sometimes, depending on their individual circumstances (job offers, financial issues, divorce), sellers can’t wait and must sell quickly. Winter price reductions are common — and that’s when you are most likely to score a great deal.
Winter Home Buying Reason #3: Low Prices
Most home prices will experience a decline during the winter months. Last winter, the median sales price for a home was approximately $250,000, compared to nearly $267,000 in the spring. This means winter home buyers were able to save almost $17,000 compared to buyers who waited until spring to purchase homes, according to Dave Ramsey.
Winter Home Buying Reason #4: Low Mortgage Rates
Currently, mortgage rates are at record lows. Buying a home this winter allows you the opportunity to lock in a low rate now. Compared to late 2018, mortgage consumers are saving over $120 per month on a 30-year fixed, $300,000 mortgage. Although mortgage rates are difficult to predict, the current interest rate environment is perfect for buyers looking to save on a home purchase this winter.
If you aren’t in the market for a home just yet, keep in mind that winter is also a great time to apply and get prequalified for a home loan. You can meet with your banker and discuss your home loan options, as well as gather loan documents. You can also check out Zions Bank’s home loan comparison table to find out which loan is right for you.
Zions Bank’s team of lending professionals are here to assist you with the home buying process, no matter the season. Contact a Zions Bank Mortgage Loan Officer today.
Ali Hardy is a freelance writer for Zions Bank.
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