The cooler days are slowly starting to set in, and as the leaves move from their brilliant summer green to the phenomenal colours of autumn, real estate may be the last thing on your mind. After all, spring is the best time to buy a home right? Think again. An ERA survey suggests that 40% of respondents cited “back to school season” as the number one factor for refocusing their buying and selling efforts. More than the fact that people are just thinking about buying and selling, though, is the sheer number of advantages in buying a home during the fall. Take a look at a few now.
The numbers are in for the past several months, and in September of 2015, more houses will hit the market than in any other month of the year. For buyers who are thinking about the right home, that can only mean one thing – the dream home you’ve been thinking about is just around the corner. While many consider this season to be one of low inventory numbers, this year that has proven to be completely false. More than ever before, there are motivated sellers out there, and they have many of the properties buyers want available, complete with all of the amenities and great locations.
Buying the Perfect Home Just Before the Holidays
The holidays are coming quickly, and buying in the fall means an added advantage if it’s your turn to host the family this year. Instead of a fast move in the early winter when you feel like you won’t actually be ready to have all of those people over, you’re going to be able to take your time putting your new home together and unpacking before your aunt and uncle arrive to see that new guest room. From that perspective, it’s really the ideal time to move because while you’re going to have a great new home to show off, you’re also going to have plenty of time to make it feel like home.
Low Demand, Lower Competition
There may be plenty of homes for sale, but that doesn’t mean there are as many willing buyers floating around as there were in the Spring. Not AS many families want their children to have to change school districts right after the start of the year, so they don’t begin to shop for homes right now. For serious buyers, this is the perfect equation. With a lower demand, every buyer who walks through the door is going to be treated with a bit of extra TLC, and those requirements you might add to the contract are far more likely to be approved than they might otherwise be. Naturally the fact that demand for housing is lower means that the competition numbers have crashed too. You’re fighting far fewer individuals for that home you really want. In fact, you may even be the only interested buyer on some properties, so whether you want a new carpeting allowance built into the price or you just want to knock a few thousand dollars off that number, these things may be more possible during the Fall. After all, Kitchener-Waterloo homeowners don’t want their home to sit on the market for months and months, so you’re going to see highly motivated sellers.
Buying Season Has Become Loan Season
While fall has traditionally been a great time for serious buyers, a perfect storm has occurred this year for those who are in the market for homes. Not only do we have higher inventory numbers this month than we’ve seen all year, but we suddenly have the lowest possible interest rates. In Canada, the current prime rate is sitting at 2.70%. For buyers looking at a traditional mortgages, that translates to something hard to pass up! You will not only pay far less at the outset of the process, but you’ll also end up paying less over time, something you’ll certainly want to consider in your quest for a home.
According to Maria McGill of Mortgage Intelligence, on September 9, 2015 The Bank of Canada announced that it is holding its key rate steady at 0.50 per cent as “the stimulative effects of previous monetary policy actions are working their way through the Canadian economy.” The Bank had cut the benchmark rate twice earlier this year as the economy faltered with falling oil prices. This is great news if you’ve got a variable-rate mortgage, need a new mortgage, are renewing, or want to consolidate debt at the lowest cost funds. The prime rate will likely remain unchanged. The next rate-setting day is October 21. See below for Maria’s current mortgage rates.
We have several exceptional Realtors on The Mark Maurer Team who love to work with buyers. If you are considering a Fall home purchase in Waterloo Region, give us a call at 519-885-0200.
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