If you’re at a point where you’re thinking of buying a Philadelphia home but wondering ”Is it a good time to buy a house?” Truly, the best time to buy a house is whenever you’re ready. However, if you’re flexible on timing, there are different seasonality factors to consider to determine the best time of year to buy a house in Philadelphia. Homebuyers should also always be tuned in to the market trends, from home values to mortgage rates.
Best Months to Buy a Philly Home Based on Priorities
Chances are you’ve heard that spring is the best time to buy a house. Typically, spring is the time most houses come to the market. So, if your priority is to have plenty of choices in which luxury Philly homes you want to buy, then March-May is the best time to start looking. Be warned, however, that this is also the time prices are the highest, according to research done by Zillow.
If your priority is getting the best price on a home, you should look in the winter months. From November to January or February, prices are low, but inventory tends to be as well. So while you might score a deal, you might also have to give on some of the things you want because there are fewer houses on the market.
Getting a mix of both good pricing and fairly good inventory is possible. If that’s what you’re looking for, then Zillow suggests looking for your dream luxury Philadelphia home in August. At this point, with summer winding down, home sellers are interested in negotiating on price so they don’t have to hold onto their homes in the fall.
According to Zillow, 9,900 homes were put up for sale in April 2016 vs only 4,200 homes for sale in Philadelphia in December 2016. The sweet spot in the middle: 7,500 homes up for sale in August 2016.
Financial Considerations for Buying a Philadelphia Home
Once you’ve settled on what time of year you want to look for your next Philadelphia home for sale, it’s important you are prepared. One of the biggest factors making right now a good time to buy a house is the fact that mortgage interest rates are very low.
According to Bankrate, current mortgage rates are hovering around 3%, depending on your specific lender. This makes it a great time to buy, when mortgage rates are so low. Even a percentage point could save you a substantial amount of money when it comes to your monthly payment.
After you cost out what your interest and principal payments will add up to be for your home, you can begin to calculate what you can afford when it comes to additional taxes, utilities, and more. You’ll then know what you have leftover if you were to find a home that needs a little more sweat equity put into it.
Luxury Realtor Can Help You Understand Philadelphia Real Estate Market
Is it a good time to buy a house? An experienced real estate agent can help answer that question. Home buying can be a complicated process, from seasonality to mortgage rates, home values, neighborhood trends, and more. This is where an experienced Philadelphia luxury real estate agent comes into play. A good real estate agent can help you understand which neighborhoods are ‘hot’ and would be good investments to grow in value over the coming years. They can also help you navigate negotiating during the fast-paced spring and summer markets. Or conversely, can help you hunt for the best inventory during the slower falls and summers.
Let one of our agents help you in your home buying process. We have the experience, connections, and knowledge to help you match with your perfect Philly home. With more than 50 years of experience and $3 billion in transactions, Nancy Alperin and her team t Maxwell Realty love to work with new and seasoned home-buyers alike.