What is the Best Time to Buy A House in Charlotte?
Timing determines so much when you're buying a house. Although the best time to buy a house is when you're ready both financially and emotionally, there are other factors that can help you decide when to buy a house.
By timing your purchase just right, you can nab a great home that's just right for you.
What Is the Best Month to Buy a House in Charlotte?
Let's make this clear: There's no such thing as a guaranteed "best month" to purchase a home. (C'mon, we never said this would be easy!)
While some conventional wisdom says there is a best time of year to buy a house — during spring home buying season (April to June) — there are pluses and minuses when it comes to what month you choose to purchase a home.
(Note: The Charlotte market does not experience the typical downcycles that other, weaker markets do)
Here we've outlined some of the reasons different months can turn out to be the best time to buy a house for you:
January to March. Winter isn't such a bad time to buy a house. Though there's less inventory — meaning there are fewer homes for sale — there are fewer home buyers too, so you have less competition. That means there's a lower likelihood of a bidding war, which can be a stressful experience for home buyers. Another benefit of buying a house during the cold-weather months: Home prices are typically the lowest they'll be all year.
Still, there are drawbacks to buying a house between January and March. Inclement weather can also be a challenge, since snow or ice could make it difficult to drive around and view homes or do a thorough home inspection of some elements, such as a roof.
April to June. Welcome to spring home buying season— the peak months for not only housing supply, but also the number of home buyers shopping for houses. Because most families want to move when the kids are out of school, there's a big incentive to buy a house this time of year, since many home buyers need to allow 30 to 60 days for closing.
The warmer weather also makes open houses more enjoyable, landscaping easier to evaluate, and inspections more comprehensive.
Even though it's generally regarded as the best time of year to buy a house, there are downsides to the spring market. For starters, you'll face more competition from other home buyers — meaning you have to move quickly when a great listing hits the market. Bidding wars are a lot more common, you tend to have less negotiating power, and home prices tend to tick up during spring.
July to September. If you can handle the heat (and a little competition), summer may be the one of the best times of year to buy. Now that the spring home buying craze is over, most home prices return to normal, allowing you to save some money. The sunniest time of the year also makes being outdoors and attending open houses more enjoyable.
The hot temperatures also give home buyers the opportunity to test how well a property's air conditioning system holds up in warm weather, which is something they can't usually test during other times of the year.
October to December. The main downside of buying a house in autumn is that there may not be as many homes for sale in the fall as there are in the spring. But it's not like the market goes completely quiet.
Many home buyers consider fall the best time of year to buy a house because of price reductions. Because home sellers tend to list their homes in the spring, sellers whose houses haven't sold yet may be motivated to find buyers, and prices start to reflect that.
Is 2020 a Good Year to Buy a House?
Economic forecasts vary every year, but waiting around for annual market fluctuations isn't the best way to decide when to buy a house. The best year to buy a house is when you and anyone you intend to buy a house with are ready.
Are Interest Rates Good in 2020?
Many home buyers try to time the market by monitoring mortgage rate changes with the hopes of pouncing on a remarkably low rate. But interest rates are like the stock market — no one has a crystal ball that can accurately predict when rates will rise or fall.
Plus, what's considered a good interest rate is relative. Interest rates today are low compared to what they were 20 to 30 years ago. Mortgage rates reached an all-time high of 18.45% in 1981, as the U.S. Federal Reserve drove up rates in an effort to counteract double-digital inflation. By the end of the 1980s, though, mortgage rates had finally crept below 10%.
Interest rates continued to decrease over the 1990s and 2000s. Today, mortgage rates are at historic lows.
Market interest rates are just one part of how affordable a house will be for you at any given time. Your credit score, for example, helps to determine the interest rate a mortgage lender will offer you.
Then, fluctuations in property taxes and homeowner's insurance can affect overall home ownership costs as much as changes in interest rates can. So overall, current interest rates play a pretty small role in the best time to buy a house for you.
Does 2020's Economy Support Home Buying?
Economic conditions are different from region to region and even from one ZIP code to another in the same city, so whether this year is the best time to buy a house can depend on where you are.
Ask one of our experienced Realtors® to look at the history of a specific home you're interested in. How has that home, that neighborhood, and the zip code as a whole grown over the past several years? We can show you which areas are growing the most around Charlotte, so you can ensure you're buying into a groth area.
When you begin to think through the possibilities of buying in Charlotte, always reach out to our team and we can ensure you have the best information!