When Is the Best Time of Year to Buy a House?28th April 2022
Like all markets, the housing market fluctuates. However, despite all odds, the property market has managed to thrive throughout the tumultuous past couple of years – which has led our expert team of estate agents to the question: When is the best time of year to buy a house? Our experts will break it down in this informative guide.
For more expert advice or to enquire into properties across North Manchester, get in touch with JonSimon Estate Agents today or simply fill out our online form to request a valuation visit.
When is the best time to buy a house?
If you are looking to get onto the property ladder, or invest in your dream home, it is essential to consider when is the best time of year to buy a house. The time of year that you purchase the property can affect the amount of choice you have, the pressure put on you to close the deal, the price of the property, and the rate of your mortgage.
So, without further ado, let us take a look at some of the factors that affect when is the best time of year to buy a house.
Recovering from COVID-19
We cannot discuss the current housing market, without mentioning the impact of COVID-19. Thanks to government initiatives to encourage buyers to enter the property market, such as the stamp duty holiday, the real estate market has thrived, despite all odds.
As we recover from the pandemic, more people are getting back into work after being furloughed, also increasing potential budgets for house prices. With many people choosing to stay working from home, the demand for new housing, especially with a home office, has unsurprisingly boomed.
Time of year
All of the spring season is a fantastic time for potential buyers to go house hunting. There is often a large influx of new properties around this time, and lots of pent-up demand, as sellers are keen to complete the sale after the cold weather of winter but before summer rolls around.
September and January are also popular times for sellers to put their houses on the market, as people look to complete their sales before Christmas and fulfil their New Year’s Resolutions in the later winter months.
The worst times for buying a home are the height of summer and the run up to Christmas. Unsurprisingly, this is when many of us have to tighten our belts to prioritise other purchases, as this is when people tend to jet off on holiday and invest in a plethora of presents for loved ones.
Similarly to what we mentioned above, as a general rule of thumb, the market is often more diverse and bustling when the kids are at school. During school holidays, families – and that’s buyers and sellers alike – are more likely to head off on holiday, rather than look at buying or selling a house.
There are multiple economic factors that can affect buying decisions. For example, when inflation rises, the interest rates set by the Bank of England will typically rise in response to this. Thus, if you are looking to pay for the home by taking out a mortgage, this will affect your mortgage interest rates.
The price of a house can also increase due to inflation, which is good for sellers, but less so for potential buyers. Thus, buyers can see real cost savings by taking out a mortgage and purchasing a house when there is low or stable inflation and lower interest rates. It can also be fruitful to consider your credit score, as this can often impact the interest rate set on your mortgage or repayment of your loans.
So, when is the best time of year to buy a house?
There is no right or wrong answer – ultimately, the answer to when is the best time of year to buy a house comes down to what your priorities are, and where you are looking.
If you would like more choices to explore with your real estate agent, the best time of year is often April to June. However, of course, as this is the best time of year for the market, this means that there will be more demand for homes at this time, and so you should be prepared to pay more for the property.
On the other hand, if you are looking for the best time of year to buy a house with a lower price tag, you might prefer to look around summer and winter times. As most sellers will look to sell in spring and autumn, this can leave some properties on the market that did not sell, and thus will often reduce their prices.
It is worth noting that this is an indication of the national market as a whole, and this may vary depending on the area you are looking to buy. For this reason, we will now look in more detail at the areas local to us here at JonSimon.
Our House Sales Data: When is the best time for selling in Ramsbottom, Burnley and Radcliffe?
Since 1995, right up to the present day, we have been collecting data concerning the current property market in the communities that we serve. This has provided us with essential knowledge and insight into the trends of the wider property market, which we can use to inform our decisions and effectively help you sell your property at the best time, for the right price.
To highlight the local trends -and how this compares to the national property market – let us take a look at three areas of interest: Ramsbottom, Burnley, and Radcliffe.
Ramsbottom is an interesting area, as it boasts a relatively small but steady property market. The benefit of selling in Ramsbottom is the return that you could make. In 2021, our data found that the houses in Ramsbottom sold for an average price of £261,331.82.
Our study also found that the best time of year to sell a property in Ramsbottom is October, with 792 properties sold last year. However, even the worst months of January and February aren’t significantly different, with 519 and 526 sales respectively, showing the stability all year round of Ramsbottom’s housing market.
In 2021, Burnley was named the 6th place in the North West for annual growth, as reported by the Burnley Express. Last year, the average house price amounted to £114,732. However, like many places, some areas can bring a higher price. Most notable is Rossendale, which had an annual growth of 24.6%, resulting in an average house price of £182,000.
Using an analysis of data collected between 1995 and 2022, the best time of year to sell a property in Burnley is summer or autumn, or, more specifically, June (4821 sales), July (4513 sales), October (4771 sales), and November (4684 sales).
It is also worth noting that it takes an average of 3 to 6 months to sell a property in Burnley, which might suggest why the popular seasons for selling in Burnley differ from the rest of the UK.
The average house price in Radcliffe in 2021 rose to £171,988. Our data also shows that the best time to sell a property in Radcliffe is June, with 1581 sales, March, with 1550, July, with 1543, and September, with 1492.
As you can see, Radcliffe follows the general national trend of increased sales during spring and early summer, dipping in August, before picking back up again in September. This seems to suggest that many people put their house on the market in the New Year and look to have sold it before the coming summer.
What to consider when buying a house
We understand that buying a house is a huge decision to make. So, to support you in your journey, here are some essential things to consider before buying a house.
The first thing to consider when looking to get into the property market is the amount of money you are willing to spend. Take your time to consider how much you can afford to pay upfront, and how much you could comfortably pay as monthly repayments to a payment plan.
Having a rough figure in mind will allow you to ensure your real estate agent can find you achievable properties that are well within your means, whilst still suiting all your needs. The more you consider the financial aspect, the more you will be able to narrow down your choices and understand what you can realistically get for your money.
Means of payment
In addition to figuring out your budget, you should also consider how you will pay for the house. For those with significant savings or inheritance, you might be able to pay the full amount upfront. However, for most people, this will be a case of putting down a deposit, and then taking out a loan or mortgage.
You will need to save up enough money to put down the deposit as a lump sum in order to take the property off the market. It’s then up to your personal circumstances which mortgage or loan works best for you. Just remember to consider the additional costs involved, such as solicitor and mortgage broker fees.
How much space do you need, and how much space do you want? This will give you the absolute minimum size of house that you are looking for and also a goal that you can aim towards.
When considering this, it is important to think about the long term – do you think you might start a family soon, for example? Or perhaps, conversely, your kids are soon to be flying the nest.
Remember that the current layout of the property is not set in stone (…well, figuratively at least!). Once the property is yours, you can always knock through walls and switch things around to suit your needs, so be open to the space as a whole on your viewings.
Think about the amenities that are situated in the surroundings of the property. For young professionals, this might include anything from bus stops to wine bars. For parents, ensure you research the nearby schools.
Remember, it is always better for you, and the environment, if you are within walking distance of everything you need, rather than having to hop in the car for a long drive for your essentials.
Arrange a viewing
On the viewing, be on the lookout for any indicators of the quality of the property, as these things will typically not be noticeable in the photos on a listing. This includes things like how the house was built, how stable the walls are, and if there are any indications of mould or water damage.
The better quality the property, the longer it will serve its purpose, and thus the more value you will get for your money.
Why choose JonSimon?
Here at JonSimon, we are committed to making the buying and selling process as simple, straightforward, and transparent as possible. Our expert team boasts over a decade of experience and expertise in real estate, and we are always on hand to assist you throughout every step of the process.
We have three dedicated local teams in Radcliffe, Burnley, and Ramsbottom that can give you detailed advice about the local property market, making sure that you can put your home on the market or make a purchase at the most opportune time, and for the best price. We are local experts, making us the perfect choice for exploring properties in these areas, and throughout North Manchester.
Our award-winning estate agents are available to answer any questions or queries you might have, whether you are just starting your search for your first home, or are a dab hand at property investment.
Get in touch with JonSimon Estate Agents today by calling 0161 723 1155 for Radcliffe enquiries, 01706 489 966 for Ramsbottom, or 01282 427445 to speak to the Burnley team. Or, if you are looking to sell your current property, simply fill out our online form to request a valuation visit.