Despite many misconceptions, the holiday months could be a great time to purchase a new property. The prices tend to dip, and there is less competition. Here are some of the benefits you can take advantage of when you choose to search the many homes for sale during the holiday season.
Good Deals
The real estate market typically moves in cycles, going up and down in relation to a specific time of year. Therefore, since the housing market is about supply and demand, you are more likely to find a great deal when no one is looking. For example, with properties under foreclosure, a bank will be more eager to get those loans off of its books before the end of the season. Homes tend to peak during the summer months, which means sellers are likely to negotiate during the slower, holiday season.
Finding Lenders
Due to less competition, lenders may approve your loan quickly, and with better interest rates. Lenders will be competing over buyers during the holiday season, and doing all they can to please the buyer. The trends of interest rates tend to be lower around the holidays because the demand for homes for sale is low. This does not guarantee you will receive the loan, but it definitely improves your chances.
Tax Benefits
Since you are purchasing a home at the end of the year, you can benefit from many tax deductions, especially if you itemize your taxes. This will include mortgage interest, property taxes, and any points you paid upon closing. Even though you should never make your purchase based on a tax deduction, this is definitely a way for you to save money.
These are some of the benefits you should consider when looking at homes for sale during the holiday season. Always speak with a real estate agent who can help you determine what your best options are.
Sources:
Top 5 Reasons To Buy A Home During The Holidays, Money Tips
Top 5 reasons to buy a home during the holidays, CBS News
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