I can't help it! When the weather starts to get warmer (and I see how bad the garage is with the door open) I start to do some spring cleaning. Spring is the time of rebirth! Of something new! Things start to feel "clean" and I feel like I need to go along for the ride with that feeling.
Many time people start to feel the same way about a new home. It is a new start and a clean beginning. There are many great reasons throughout the year why to buy a home, but here are a few reasons why it is an awesome time to buy in spring.
1. The kids (and parents) can get settled in the new home and neighborhood before school starts in the fall. A large, justifiable concern for many parents is how the kids will adjust to a move. This is an even bigger concern if their children will change schools or even more so, school districts.
Buying a home in the spring allows the kids to get to know some other children in the new neighborhood and to adjust before school begins in the spring. Neighborhood pools, parks, activities, 4th of July parties, etc are all opportunities for them to meet others in the area. As for the parents, this also gives them the chance to meet potential babysitters, other parents to car-pool with and possibly even some of the teachers. Parents can get to know other important places in the area as well such as gyms, gas stations, grocery stores, and those hidden ways to get to and from the neighborhood to avoid traffic delays before the hustle and bustle of school begins.
2. More homes go on the market for you to choose from. Spring is the time most people sell their homes for some of the same reasons you want to buy. Getting settled in the spring and early summer for the kids can help with adjustments. The weather is nicer. Spring cleaning fever sets in.
According to Time Magazine, the best time of the year to list your home is in the spring and it is no surprise that spring is exactly when most people list. That means there are more homes on the market for you to pick from. Time goes on the say about 60% of moves happen in the summer so placing offers and going under contract in the spring is the right timing to move into a home in early summer once the kids get out of school.
3. Interest rates are on the rise, we think. Those darn interest rates! They go up and then they go down. Lately, interest rates have been on the up-tick. In May 2016, the interest rates were around 3%! By November 2016 they were up to 3.75% Now they are around 4.3%. This difference can make a large difference in your monthly payment meaning you can afford less home. The trend does seem to be that the rates will continue to slowly climb. Locking into a rate before it goes up, yet again, can give you more buying power. Remember that many lenders, at least many I work with, will lower your rate after you lock in and before you close if the rates goes down.
4. Home prices, especially here in Colorado, continue to rise. Many home buyers think they will be able to "wait it out" to see if the home prices in our area will settle down and possibly drop. Unfortunately for those buyers, the opposite is still happening. Prices continue to rise in the Denver area and are projected to continue to do so for at least another couple of years. This means it may be financially worth it to buy now and possibly even have some equity as the home values continue to climb. Obviously, the more expensive the homes in the area, the less home you can afford as those prices continue to rise. Buying a home now, with the potential of higher interest rates and higher prices, is a smart option.
Katie Sells Castles, LLC