BEST TIME OF THE YEAR TO SELL A HOME
We always get the question when someone calls us thinking about listing their home.. “when is the best time of the year to sell a home?” There are so many factors that go in to this answer.
When you sell your home oftentimes depends on your motivation, such as why you want to sell it and if you’ve already bought another home. However, with that being said, the real estate market in the Greater Vancouver area does have seasons. This is largely because of our weather patterns, thus there are times of the year when it is easier to show your home at its best to potential buyers. There are also times of the year when buyers are actively shopping for a new home and are ready and pre-approved to make an offer.
If your motivation and those times coincide, then you’re more likely going to sell your home quickly and for the most amount of money.
TIMING IS EVERYTHING
Receiving the highest price possible for that sale of your home often comes down to basic economics. How much supply is there? How much demand is there? There are pros and cons to every home, and if you feel like your home may have more cons than pros then you’ll want to sell when supply is low. What does this mean? It means that the generic answer that spring is the best time to sell may not apply to you. Spring often brings more supply, meaning as a home seller you will have more competition. For example, if your home is a condo and you know there are some big special levies coming up to have the roof replaced, then late January or early February may be your best bet. Buyers will be trying to beat the spring rush, and there will likely be a lot less competition when it comes to other listings.
Your realtor should be preparing a comparative market analysis for you. This “CMA” will show the current active listings in your area that compare to you, as well as the recent sales. You’ll then be able to determine a competitive pricing strategy based on the active and sold properties. Regardless of what month it is, or what the weather is like, if you maximize on timing and sell when there is a low supply and a high demand for your particular type of property, then you will almost always sell at the highest price that the market will bear.
get ready, get set… sell? review the timing strategy if you have flexibility on when you can sell.
WHY PEOPLE OFTEN LIST THEIR HOME IN THE SPRING
Spring is often the busiest time for realtors, because home buyers have had enough time to get the winter blues out of the way, and they’re ready to really move forward with their resolutions. If their goals were to buy a home this year, spring is typically the time they’re going to do it. Spring is a time of renewal, and home buyers are looking for a new start.
When it comes to school, if the buyers are a family with school-aged children, they’ll typically start looking in spring so that they can move in during the summer time before the new school year starts. It will be important for them to make sure the household is settled and the kids are registered for their new school in time for the fall.
Overall, the weather in spring is good in the Greater Vancouver area, and because real estate locally is largely weather influenced, this means that more buyers are in the mood for looking for houses at this time.
For sellers, the spring season is thus a great time to show off the best features of your home. Especially if you have used the winter months to get your home prepared for a sale, from decluttering the garage, to fixing up those persistent maintenance issues that you’ve been meaning to get to. If you have a yard, spring is a great time to show off your gardens, flowers, and overall landscaping.
But the question is, if spring is the “best” time to sell your home, won’t everyone else be thinking the same thing? Won’t this create an insurge of supply that I will have to compete with?
The answer to this is of course yes. However, when the market is moving and buyers are eager, prices are likely to stay healthy. The good news is, that there will be more comparables. So if 2 other homes sold for top dollar and you’re trying to sell yours, you can ride off of the good prices of homes that are comparable to yours. Timing can be more difficult in the spring, and it can come down to the exact week that you list it. If your home isn’t the “ideal home” with all of the renovations, and the perfect location, then spring may not be the best time for you to sell – you may want to wait until there is lower supply… like fall!
IS FALL A GOOD TIME TO SELL YOUR HOME?
Spring is definitely a busy time for realtors in terms of listings, and in turn purchasing. However, not everyone is prepared to sell their home in the spring. The summer is often when a lot more completions and possessions happen. There can also be quite a few people taking vacations during the summer, so they aren’t always thinking about moving. Thus, the fall is also a desirable time to list your home, and takes a close second to spring.
The weather in the fall is still good, so buyers don’t have to truck through the snow to come to your open house. People that are thinking of moving are actively trying to close something before the winter and Christmas season come along, so they’re oftentimes very serious and motivated.
Typically there are usually fewer listings in the fall, which takes us back to “timing is everything.” If there is less competition for your home, and still a steady flow of active buyers, you may be able to obtain a better price than you would in the spring. Specifically if your home has some less desirable features, like being on a main road, being on a T, lacking renovations, is a small lot, or is an older building. It is quite common for prices to peak in the fall for this reason.
ARE THERE BUYERS LOOKING FOR HOMES IN DECEMBER?
Yes, there are buyers looking for homes in December – and they’re usually motivated. If a buyer is looking for a home in December, and you’ve listed your home in December, then the likelihood of them being pre-approved, working with a realtor, and ready to move is pretty high.
The winter season is typically not the best time to list your home, as again, the real estate market is fairly seasonal. With the snow, and Christmas events, and family get togethers, December can be a busy month for a lot of people – leaving less time to search for homes. If you can hold off on your sale until January or February, you’re more likely to have a greater number of people coming through your open houses and requesting showings, meaning that there is a greater likelihood for multiple offers.
With all of that being said, not everyone is in control of timing when it comes to listing your home for sale. The best time of the year to sell a home is when you’re ready to sell it.
Which takes us back to the first point – you should list your home for sale when you’re ready to list it for sale. If you have some flexibility, talk to your realtor about what month and time would be the best strategy to ensure that you get the most amount of money for your home.
We hope this helped to give you a guideline of when the best time of the year to sell a home is! Are you thinking of selling? Are you wondering what homes you may be competing against and when would be the best time to sell? Give us a call at 604-765-0376. Prefer text? 604-319-0200. Or email at [email protected] and we will set up an appointment to review your options and tour your home!