We would all love to have a crystal ball that tells us when is the best time to buy a home, that is, when we can afford to pay the lowest price for the house of our dreams. The price of a house depends on multiple variables, such as the demand for a certain area or type of house, the money that potential buyers have to acquire those houses, interest rates or the level of supply in the real estate market in that moment. That is, how many houses are for sale at that moment.
In addition to all of the above, there is another factor that sometimes determines whether the price of a home goes up or down, and this is the season of the year in which we find ourselves. There are times of the year when there is a greater number of real estate sales, such as autumn, since with the start of the course many people want to change their place of residence.
The best time to buy a home depending on the time of year
Spring
Many people think that this season of the year can be a very good time to invest in a home, since they will be able to enjoy it in the face of summer. But spring is a bad time to buy a home if we want to get a good price.
In the spring months there is greater competition in terms of housing supply. What makes sales prices increase, makes it more difficult to find a property in the best conditions and financial institutions put more obstacles in order to access a mortgage.
Summer
We can say that it is the worst season to buy a home, since during the summer months the prices of houses usually rise, especially if they are second homes. In addition, during this time of the year it is also the case that potential buyers have less money due to the expenses that occur during the summer period.
Fall
During the autumn months is when the best conditions and prices to acquire a home are given, since the high summer demand in search of second homes decreases. It is at this time that investors appear who are looking for an optimal value for money.
In addition, access to a mortgage (here we explain what fixed or variable mortgages are ) is much easier during the autumn months, with banks even competing with each other to offer the best conditions.
Winter
During the final months of the year, the supply of homes decreases and those that remain available are usually the ones that cost the most to sell due to their characteristics or cost. For this reason, the owners of these homes are more willing to negotiate the price as they are in a hurry to sell.
On the other hand, the fact that they are homes that have not been sold during the year has its reasons, usually because the value for money is not correct. So winter is not the best time to sell a home if we take into account the season of the year.
The best time to buy a home depending on the economic situation of the country
In times of economic recession one of the most affected sectors is always real estate, causing as a direct consequence the reduction of real estate prices, so it can be very interesting to invest in them.
But all that glitters is not gold, because although housing prices fall during economic crises, at the same time banks tend to make their mortgages more expensive or tighten their approval criteria due to the instability that is generated in a context of crisis. More information about crisis in this brief introduction to the real estate bubble in Spain .
Other times, instead of raising interest rates, banks demand a greater relationship with the entity for customers who have a lower risk of default, in order to try to retain them. Being necessary to contract more combined products to access their mortgages, such as insurance, cards, pension plans, etc.
It so happens that times of crisis are an optimal time for those who have liquidity. Those people who are able to buy in cash, will be able to acquire real estate at a much better price than in times of economic boom.
The best time to buy a home is, therefore, the result of the sum of a set of factors and circumstances in order to obtain the best value for money for the home we acquire.
