6 REASONS WHY THIS WINTER IS A GREAT TIME TO SELL
Article by: Daily Real Estate News (January 23, 2013)
Forget the myth that winter is a bad time to sell real estate. While sales usually inch lower in the cooler months, some real estate pros are saying this winter in particular may be a great time to sell a home.
- Mortgage rates are near record-breaking lows.
- Home prices are starting to rebound in many markets across the country. The National Association of REALTORS® reported that home prices in December were 11.5 percent higher than a year earlier.
- Homes still remain a good deal: Prices are rising but remain mostly below 2007 highs, and in many areas, the cost of buying is cheaper than renting.
- Distressed homes that typically sell at big discounts — up to 20 percent off — are still widely available. Short sales and foreclosures accounted for 22 percent of all existing home sales in November.
- Household demographic changes: Many buyers used to want to wait until the end of a school year before moving, but households are changing and moving schedules are less tied to school terms. That’s because households with children are making up a smaller part of the mix nowadays. According to William Frey with the Brookings Institution, 80 percent of all households in the U.S. do not include children has declined.
- Household formation is growing. “Many people who ran into tough economic times several years ago are again looking at real estate ownership,” says Wendy Forsythe, executive vice president with Atlantic & Pacific Real Estate. “Enough time has passed so that many of these individuals have re-built credit, built up their savings and now qualify for FHA, VA and conventional financing.”
Source: “Does Real Estate Really Sell in the Winter?” Reuters (Jan. 22, 2013); Daily Real Estate News (January 23, 2013); NAR | Blog, In The News, provided and distributed by Kenneth Bargers and Bargers Solutions, member of Pilkerton Realtors, residential real estate services located in Nashville, Tennessee