The right timing can make all of the difference when buying a home. Sometimes, even a difference of just a few weeks can dramatically affect the type of deal you are able to get on a number of different levels in the complex world of real estate.
If you have been thinking about buying a house for some time now, here are five reasons that you might want to start thinking about expediting the process.
Timing is Everything
Remember earlier this year when we were writing about how most people list their homes for sale during the spring months? Well, that means that a majority of the homes you see on the market in late 2016 are going to be ones that have been for sale for the better part of the year.
After many long months of trying to sell a home, most sellers are going to be more willing to take lower offers. They might be desperate to get the house off of their personal finances, or they might just be tired of showing the house and holding open houses. Either way, this is the time of year when you are most likely to find motivated sellers.
Depending on whether you are looking at a primary residence or an investment property, there are a bunch of different tax breaks that you might be eligible for that go hand-in-hand with buying a house. Take an hour or so to speak with your tax planner or accountant and you will be amazed at the list of ways that a new house can save you big bucks on your taxes.
And if you are able to pull the trigger and get to closing before the end of 2016, you can lock those tax breaks in for this year’s taxes instead of having to wait until next year to record them. That means you could see a serious bump on your tax return in early 2017, instead of waiting all the way until 2018!
Lock in Your Rate
The Federal Reserve has been talking about raising interest rates for years now, but sooner or later they are actually going to do it. Right now, those rates are still ridiculously low compared to historic standards.
If you haven’t locked in your future housing costs at a low rate yet, you definitely want to get that done as soon as possible in order to ensure that you are taking advantage of the current interest rate climate.
Rising Home Prices
Many real estate forecasts are projecting that home prices are going to continue to rise throughout the rest of 2016 and into 2017. Then there is a good chance that those rising prices will continue higher through 2017 and beyond. That means that the houses you are looking at today might be at the lowest prices you will see for the next few years.
Buying your home at a price below its projected value even as soon as next year means that you are going to be locking in a profit from day one. Combine that with tax breaks and low interest rates and you are going to find yourself in a very strong financial position.
Home for the Holidays
One final reason that it makes more sense to purchase a new home sooner, rather than later, is that you will find the holidays way more enjoyable if you are already living in your new home instead of talking about (and dreading) moving all of your stuff in early 2017.
Moving is never fun for anyone, so getting it over and done with as soon as possible is always a great option. Especially when the holidays are right around the corner and everyone is going to want to see your fabulous new place!
The overall real estate market is primed for buyers right now in 2016, but that might not be the case even as soon as early 2017. That is why we believe that pulling the trigger right now makes a lot more sense than taking your time and waiting until 2017.