Saturday, November 17, 2012
Five reasons to take advantage of the real estate market this holiday season
For one, interest rates hit the lowest point of the year.
To most, home buying during the holidays may seem like a crazy task to try and tackle with all that hustle and bustle of the already busiest time of the year. But to the savvy home buyer, the holidays are actually one of the most favorable times of the year to get a great deal on a real estate transaction.
In most parts of the United States, house sales follow a very predictable seasonal pattern: Strongest during the Warmest month, Spring and Summer; Weakest during the cold months of late Fall and early Winter.
That means November through February is a great time to look for a home for a buyer that is keen on finding a gem of a deal. So if you're thinking of buying a house in the near future, consider fast forwarding your plans and start your house hunting now.
Here are Five Good Reasons to Start House Hunting Today:
1. Low Interest Rates - Interest rates are currently at an all time low, and could fall even lower. Historically, interest rates have seen drops every December and January for the past few decades.
2. Less Competition - Now don't get me wrong, I love to compete - at games and contests - but when it comes to finding you the right home, the fewer active house hunters in the market, the better for you! You're unlikely to enter a bidding war on your dream home with less home buyers looking through the Holiday months.
3. Favorable Mortgage Terms - Fewer home sales translate into savings for you. How? Less demand for mortgage loans during the holiday season means loan officers and mortgage brokers are more willing to lower fees such as origination or points in order to win your business. They have presents to buy, too!
4. Motivated Sellers - With higher than normal unemployment rates, many sellers recognize a good buyer when they see one. And during Thanksgiving, Christmas and New Years, many home sellers are extremely motivated to sell ASAP to avoid the Holidays living out of boxes and to having to schedule showing with prospective buyers around their Holiday plans. Also, with fewer buyers on the market, sellers are more likely to look at all reasonable offer and to negotiate.
5. Tax Deductions (Cha-Ching) - If you close before December 31, 2012 you are allowed to deduct any mortgage interest paid from your taxable income for the year. As well as deduct those pesky closing costs, i.e.. any points, origination, etc. paid at closing. Consult a trusted tax advisor to see how you can benefit.
Pegasus News Content partner - Town Square Buzz