When financially settled, many of us plan to buy a new house. If you are one of them and ready to make one of the biggest purchases of your life, it is essential for you to know when is the optimal time to enter the real estate market for house hunt.
Catching the right time can make your home purchasing process much smoother, convenient, and most importantly, affordable. The ideal time optimizes your chances of buying an ideal home at the best price. So, when is that ‘best time’?
There are a few parameters that help you to understand whether you should start your house-hunt in the current market scenario or wait for the ideal situation.
- Buyer’s market:
This is the time when there is more supply of homes as compared to the demand. When there are fewer people to buy and the inventory of unsold homes is increasing, it leads to reducing the prices. Furthermore, this type of market also gives you several options to choose your dream house from the yet-to-be-sold inventory.
- Economic conditions:
When the banks and financial institutions are reducing the interest rates for home loans, you should consider making a purchase. As the span of home loans generally ranges from 15 to 20 years, even a slightest deduction in interest rates can save you considerable money.
- Off season:
You can take the advantage of the season when house-hunting and shifting activities are in the hibernation mode. Such seasons are generally festive time, rainy season, winter, holidays, starting of the academic year, etc. Though this is the time when the properties listed for sale are not many, even the prices of these homes are less as compared to spring and summer.
- Family’s approval:
If you are not going to live alone in the new house, you should take into account your family’s acceptance, as well. If you have kids, buying a new home and shifting there in the middle of the academic year could be troublesome for them. Likewise, if any of your family members is taking a medical treatment from the nearby doctor, shifting to a new place may cause some problems. So, before buying a new house, make sure that your every member in your family is ready to move.
- Your personal situation:
Above all these factors, your personal situation plays a major role in defining the best time to buy a home. If you constantly travel to different cities for work or education, you can postpone your plan of buying a home. On the other hand, if you are getting married or planning to settle somewhere permanently, it could be the best time for you to buy a home.