The summer real estate cycle is heating up
Alice Cooper summed up real estate’s yearly seasonal shift with just four words: “Schools out for summer!” His hit song rings true each year as the kids pack up their bags, say goodbye to their friends and put their summer gear on.
For parents getting ready to make a move to another suburb, city, or state, it means the “For Sale” signs go up and the hunt starts for the next home. Not surprisingly, 60% of all moves in America take place in the summer. It’s a seasonal shift that has been around as long as school has been in. Here are some points to consider when buying or selling your home during the summer months.
SUMMER SELLING SEASON
The nicer weather brings buyers out of hibernation and into your spring-cleaned home. As a seller, know that the summer cycle typically causes an increase in inventory creating more competition in the market. It’s likely though, that more people will be looking at your house, making it easier to negotiate on price. Buyers who want to move in before the new school year starts may forego any unnecessary haggling for a move that fits within their time frame.
On the other hand, don’t be too optimistic about price – the market today is still facing rough waters – and a higher price, not to mention more options, will probably put you at the low end of the buying list. This could leave you waiting for a buyer on into the winter months, when homes typically sell for less. And if you’re one of the many who are selling and buying all before school starts, pricing your home correctly so that it sells quickly is crucial.
BUYERS IN BLOOM
Buying during the summer months, as we know, has it plusses: it’s an excellent time to pack the kids up and relocate while school’s out and the weather is nice, there’s more inventory on the market and you can use your income tax return toward your down payment.
If it’s in the cards for you, there could be some benefits to waiting – late summer opens up a window of leverage for buyers who are working with slow moving family homes. Ultimately the family wants to move quickly before school starts (maybe you do too) which means getting to the table fast could cut down on time spent haggling over price. Buyers remember: it takes time to close on a home, so start looking in the spring months when more “For Sale” signs start to peek up out of the ground.
There are many important issues that come into play when deciding to buy or sell your home. As a real estate agent it’s my job to provide expertise on the unique shifts and help you either sell your current home or find one that fits your family’s needs. If you’re looking to move out-of-state, I have an excellent network of agents I hold within high regard who will take great care of you and your family while you search for a home. Give me a call or send me an email anytime.