Buying a home today can definitely seem daunting with the current mortgage rates. You might be wondering if it’s better to hold off until spring when there are typically more homes available and potentially lower rates.

The reality is, no one can predict where mortgage rates will head next. If you decide to wait, you might find yourself up against more competition, rising prices, and added stress.

Have you thought about how buying now, before the spring rush, could give you an advantage? Here are three reasons why this could be true.

1. Less Competition from Other Buyers

The winter months usually see a slowdown in the real estate market. Since fewer people are searching for homes, you can expect to encounter less competition when you make an offer. This generally leads to a more relaxed and less stressful experience during the buying process.

Fewer buyers in the market gives you extra time to think things through. Plus, you'll probably find you have more leverage when it comes to negotiating. According to the Alabama Association of Realtors:

““A significant benefit of buying a home in winter is the reduced competition. Because of the perceived benefits of spring, many buyers delay the start of their house hunt. As a result, you will find fewer people competing for the same properties during winter. Less demand can translate into more negotiating power as sellers may be more willing to entertain offers or agree to concessions to get a deal closed quickly.”
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— Alabama Association of Realtors

2. More Negotiating Power

With homes lingering on the market longer, sellers might be more open to negotiating. This can result in better deals for buyers, which could mean lower prices or added perks, like sellers covering closing costs or handling repairs. According to Chen Zhao, an economist at Redfin, this shift in the market creates opportunities for buyers.

““. . . buying during the off season means less competition from other buyers. That means potentially negotiating a better deal.”
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— Chen Zhao, an Economist at Redfin

When demand is lower, sellers usually feel more inclined to engage with serious buyers. This might provide you with a better opportunity to negotiate terms that are favorable for your needs.

3. Lock in Today’s Prices Before They Rise

Home prices usually hit their lowest levels during the winter months. Data from the National Association of Realtors (NAR) shows that last year, prices were at their lowest in January, February, and March, just before the spring buying season began.

This trend has been around for a while. Bright MLS data indicates that from 2010 to 2024, home prices in January and February were generally about 15% lower than during the peak months, which are usually in June. By purchasing a home during the off-season, you can likely sidestep the higher prices driven by increased demand in the spring.

Home prices usually rise over time, which means they typically increase year after year. So, if you're ready to buy now, you're not just getting what could be the lowest prices of the year; you're also securing today's price before it goes up in the future.

Bottom Line

While spring is often seen as the prime time to buy a home, getting ahead of the busy season can actually work in your favor. By moving before the peak, you can benefit from less competition, greater negotiation leverage, and potentially lower prices.

If you’re interested in checking out your options, let’s get in touch.