Top 5 Reasons to Buy a Home at the End of the Year
Summer can be a busy time of year in the real estate world, with supply and demand both reaching their peaks during this time. However, there are many benefits for individuals who are buying a home at the end of the year. While the housing market may be relatively more limited in the winter months, potential homebuyers can reap big benefits if they can hunt for houses in the Fall and purchase their home in December.
1) Big Tax Savings
If you are buying a home at the end of the year, the tax implications can be well worth the wait. Property taxes, mortgage interest, interest costs, and points on your loan can all be deducted if you close before December 31st. Talk with your tax professional to learn how you can enjoy the tax benefits that come with buying a home.
2) Sellers More Motivated
Sellers may be more motivated so that they too can receive tax benefits on the next home they purchase. As December hits, sellers looking to move will aggressively market their properties to ensure that they have time to close on their next home purchase, ensuring that you get the best price possible.
3) Availability of Moving Companies
In June and July, moving companies can be booked months in advance, making it more difficult to plan your move in date. It typically is easier to book a mover on short notice in November and December. Since more movers will be available, there can also be some cost savings. If the savings are not apparent, try to negotiate a better rate. Movers will be more willing to work with you at this time in the year.
4) Incentives for New Home Builds
If you want to build new, many builders will offer incentive packages to meet quotas and close their books before yearend. Incentives can include anything from paying for closing costs to buying down your interest rate or paying homeowner association fees. Some companies even offer a family vacation or a new car! Just remember, you will have to pay taxes on these items and you will be responsible for insuring that new car.
5) A Fresh Start in a New Year
While you could move into a new house on January 23rd, it just is not the same as waking up in a brand new home on January 1st. A new home in a new year can create the fresh start that people need. Additionally, if you live in a colder climate, Winter doesn’t officially start until December 21st, meaning that you can move before inclement weather hits and enjoy the holidays.