Submitted by Allison Van Wig
Special to the Signal Tribune
For most people, real estate is the most valuable property they will ever own. Whether it be a house, farm land or an investment property, real estate comes with a price tag.
No matter what type of real estate you are looking at buying, there is a good time and a bad time to purchase. Typically, a good time to acquire real estate is during a buyer’s market. There are usually several elements present to make conditions ripe for a buyers market.
Time of Year
For those that are contemplating a real estate purchase, the best time of year is during the winter months.
For most folks, it is undesirable to move during the winter. This means that there is less buyer competition. Sellers become fairly desperate during the cold months. Sometimes you can pick up pieces of property for much less than you would during the summer months.
Another great time to buy is after the school year has started. Families do not like to uproot children during school. Again, this means there are less potential buyers for any given property. This makes prices drop.
Length of Time on the Market
The longer a piece of real estate is on the market, the more likely you are to get a great deal. If sellers put their property on the market during a less than ideal time of year, it may sit for quite a few months. If this happens, sellers are more apt to accept low-ball offers from potential buyers.
Vacant House
There are many families who purchase homes and move out before they have sold their original house. Most of these families cannot afford to have two mortgages for very long. Of course they may have a bridge loan, but bridge loans don’t last forever.
When you notice a house is vacant, it is a good sign. As a matter of fact, vacant houses are usually owned by very desperate sellers. As long as you make an offer that is not too insulting, it will probably be accepted.
Flooded Market
When there is a surplus of homes on the market, it is always good for a buyer. It means they will get a large selection of homes, usually for a bargain.
Some cities will have over 200 homes for sale within the same price range. While this is horrible for the real estate seller, it is perfect for a first time buyer.
First time home buyers have nothing to worry about but buying a house. They don’t have to worry about selling their own home in a flooded market. They just reap the benefits of inexpensive real estate.
There is nothing more exciting than acquiring a great piece of real estate. Real estate does, however, come with a price tag. To minimize the amount of money that comes out of your pocket, it is important to wait for a buyer’s market. If your main goal is to purchase property at the best price possible, make sure you look for clues that indicate a buyer’s market.
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Allison Van Wig is a real estate broker and realtor for Century 21 Landmark Properties. For more information, call (562) 882-1581.
