Monday, October 31, 2016 / by Jen Koenig
As the article points out, RealtyTrac has consistently found that the average October sale is for 2.6% below estimated market value. If any of you buyers out there have endured this crazy 2016 spring and summer market here in Madison and Dane County, then you know that many homes were going for significantly above market value, simply because of intense competition. That competition all but disappears after the leaves start turning. The summer buyers are done, either because they found a home or they've decided to wait until spring. That means instead of competing with 13 other offers (yup, that happened on our team this summer), you may be the only one writing. That means you have a lot more say in dictating the price.
The article gives 5 more valid reasons, including seller fatigue (a huge factor this year; the market was moving so fast that any home that didn't sell in the first week would make buyers question what was wrong with it, even if nothing was), year-end tax credits, more attention from your real estate team (though we're proud to say the market doesn't dictate our client care - it's great all year!), and getting those year-end & holiday deals on home improvement products and services. To that list, I would add mortgage costs. Frankly we don't know what's going to happen to interest rates in 2017, but it's likely to go up. Now's the time to take advantage of those low interest rates, and when you factor that in with being able to do some serious potential bargain hunting, buying in the fall lets you maximize your investment.