Tuesday, March 1, 2022 / by Brittany Aspenson
Four tips to help you time your move in our real estate market.
When is the best time to enter the real estate market? I receive many questions about this from people considering buying or selling a home. Sometimes people need to move for financial or personal reasons, which will trump any market conditions at the time. However, if you’re able to time your move, here are four things to think about that may help you decide when the best time is:
1. Market timing. There are three different types of markets: a seller’s market, a buyer’s market, and a balanced market. We’re rarely in a balanced market, and when we are, it’s not for long. As you likely know, we’re currently in an extremely strong seller’s market.
If you’re looking to buy, you’ll have to decide if you should do so in a seller’s market. If you need to sell and buy, you’re participating in both sides of the market, so it essentially comes out even. If you’re waiting for the market to shift, that could eliminate opportunities you have now to go where you want to and cost you more money overall.
“Any increase in rates can easily offset any decrease in price.”
2. Interest rates. This is a huge factor when deciding when to move. Interest rates have risen almost a full percentage point in just the last couple of months, and there are signs that they’ll continue to trend upward throughout the year. Keep in mind that when interest rates tick up by only one point, it can hike mortgage payments by more than $200 per month. Any increase in rates can easily offset any decrease in a home’s price.
3. The season. Plenty of people think that spring is the best time to buy or sell, and that's true to an extent. There tend to be more homes on the market and buyers looking during that time. However, especially in a strong seller’s market like we have these days, buyers and sellers are out there all year long. We do often have more multiple-offer situations in the first half of the year than the second, but both are great times to buy and sell.
4. Your personal situation. This is the most crucial consideration. I always say that the market will be ready when you are, so the best time to buy or sell is when you’re ready. Everyone’s situation is different.
When you’re ready to make a plan specific to your needs, feel free to reach out to me via phone or email. I would love the opportunity to help you.