05 Nov Benefits of Buying a Home Before End of Year
While there is no clear-cut best time of year to buy a home, the summer season still reigns as the most popular. Many families choose to purchase in the summer so they can be moved in and settled before starting the new school year, and the weather allows for an easier relocation experience. However, the following benefits of waiting until the end of the year for a holiday home purchase make buying during the winter a worthwhile consideration:
Less Competition and Excited Sellers
Since weather conditions and holiday bustle tend to make the winter months an unpopular time to move, a smaller pool of buyers can be found searching for homes. This creates a clear advantage for the buyer, with more negotiation possibilities and less competition when submitting an offer to the seller. Sellers are eager to take an offer or lower their asking price since many are hoping to enjoy a tax savings on their next home purchase. Sellers may even throw in incentives such as home warranties or appliances to sweeten the deal for the buyer.
By closing on your new home before December 31, you can deduct your mortgage interest, property taxes, points on your loan, and interest costs on your next tax filing. This could amount to a major deduction since the majority of your monthly payment in the early stages of your new loan is directed toward interest. With your closing-cost deductions, you can claim for the year that you closed your loan. If you don’t close before the end of the year, you will have to wait an entire year to file for that benefit!
The end-of-the-year “slump” creates advantages when hiring movers. This is because companies decrease their prices after the summer cooldown, and their availability for booking is easier to secure on short notice. While moving companies require at least six weeks’ advance notice during the summer months, their manpower and equipment availability during the winter season will not leave you on a waiting list. During their slow months, some companies also include coupon and package deals!
Time to Settle In
Many companies provide more paid time off in the winter than other seasons of the year, and the moving/unpacking process can be set at your own pace to avoid stress. Being in your fresh home for the new year is also a great incentive!
At Fairway Independent Mortgage Fort Lauderdale, we would love to assist in your holiday home purchase. Give us a call today to get started!