The regular seasonal trends in the housing market almost vanished during the epidemic. Anytime was the right time to sell since there was such a high demand for properties. With the market beginning to level out a little, time is once again a piece of the home sale puzzle.
All areas suffer the effects of seasonality. However, the degree varies depending on where in the nation you are. There is less of a difference between peak and slow seasons in the South and West; however, the Midwest and Northeast see greater differences between summer and winter.
October and December remain steadfastly the slowest months of the year. Homebuying season officially begins in March and April, when asking prices go up. Returns are 8.9 percent and 9.2 percent, respectively. May, June, and July are peak selling times, with May in the top spot garnering 12.6 percent over home market value. June barely edges over July for second place.
For many reasons, summer is the busiest season for home sales, particularly for those living in chilly locations. Families prefer to purchase houses before the start of the school year and before cold weather sets in. That is good news for the seller’s side, but it is often not the best news for a buyer because of the high prices and increased demand.
The warmer months increase purchasing activity, partly due to longer days caused by daylight saving time. There is an increased eagerness to examine houses in the spring and summer, increasing the number of offers that come in. More visitors means increased visibility.
As a buyer, ensure you are pre-approved for a loan and your finances are in place, then start shopping around as early as April to prepare for the Fall and the start of the school year.
Seller premiums normally start to diminish in September. The steep decline is because many purchasers with school-aged children have probably already found property by that time. In the last quarter of the year, homebuying is put on hold due to the commencement of the hectic holiday season and school obligations. When people are traveling and preoccupied with holiday festivities, homebuying activity often slows to a halt. The season also has an impact throughout the winter, just as it does during the warmer months. People prefer to remain close to home when the days become short, and the temperatures drop. For merchants, this means less foot traffic.