Benefits of Buying a Home During the Holidays
Are you thinking of purchasing a home these holidays? It may seem counterintuitive but there are actually significant benefits and fantastic opportunities, especially for those with a tight budget.
Few people are keen to uproot their family and go through the process of buying a new home and moving during the holidays. For this reason, the opportunity for home buying bargains are amazing for those who don’t mind the effort.
Fewer Buyers to Compete With
There are far less people interested in purchasing property during the holidays. Having fewer other buyers to compete with allows you to have a significant advantage when negotiating with the seller and finding the perfect property.
You can acquire a house you love without worrying about an offer another buyer might make. When demand for property is high, negotiations are more intensive and the chances of finding a bargain are much lower. Less competition means lower prices and more leverage.
Holiday property sellers often need to lower prices or make other concessions if they want to sell, meaning listed prices may be open to negotiation. With fewer real estate transactions occurring, you won’t have to be rushed through the process either. The market is slower and you’ll have more time to make up your mind and find a home you really love.
Property owners who are selling over the holidays are usually pretty serious about selling. They may urgently need the funds or have a big incentive to sell, like a job relocation. These circumstances make a quick sale for them necessary, offering you leverage and flexibility.
You don’t need to be a great negotiator to close the deal quickly on your terms during a holiday sale. Negotiation processes tend to take a long period of time, particularly when parties are unwilling to make concessions. This won’t be the case if the seller feels a sense of urgency. By negotiating fairly but firmly, you should be able to get a lower price or other concessions like lower closing costs.
Better Interest Rates
Generally speaking, there is often a cyclical trend of lower interest rates during the holidays. This isn’t because of generous lenders wanting to offer a holiday gift but because limited demand forces more competition among lenders.
Keep in mind that this isn’t always the case. There are numerous factors which can obscure interest rate cycles but you might see preferable interest rates around the holiday, especially compared to periods immediately after. You should consult a mortgage broker for more information about interest rates during this holiday season.
A Few Important Considerations
Buying a house during the holidays comes with plenty of advantages, but there are some important limitations to keep in mind. Much like there’s fewer buyers on the market, there are also a smaller number of properties to choose from. If you’re particular about the kind of home you want, you might need some luck to find what you are looking for.
Some of the factors we mentioned above might not apply in some cases. For example, if you’re trying to buy a beachfront home in a high-demand summer destination, the dynamics may be reversed. But in most cases, the holidays represent an opportunity to buy a home under favourable circumstances.
Most importantly, it would be wise to have pre-approval on a loan from the bank so sellers understand you’re serious about buying and you’re ready to close the deal when you find the perfect place.
Finding a Home with Multi Choice Home Loans
If you’d like any advice about purchasing a home during the holidays or need a mortgage broker, get in touch with Multi Choice Home Loans. As part of the country’s largest broker network, we can offer expert advice and services to help you get the perfect home.
We have offices in Brisbane, the Sunshine Coast, Beenleigh and Hervey Bay. Contact one of our friendly local brokers on 1300 36 36 99 or get in touch online.