Is Your Buying Opportunity In Housing Now? | Alex Rek

While most people are preparing for the holidays and out shopping for presents, the holiday season as well as the winter months can be advantageous for homebuyers. Considering the flurry of demand and bidding wars that were witnessed in the summer and early fall months of 2013, if properties are still on the market, there most likely is good reason why. Whether the asking prices were too high or the sellers too firm on the price, many factors become opportunities in the current seasonal stretch.

1. Desperate Sellers

Historically the winter months are a time when properties linger on the market and transaction activity declines. Rarely does someone want to vacate a property, move their belongings, or search for a new home unless they absolutely have to. The reasons for what makes someone a desperate seller are extensive and for a buyer they can be opportunistic. Whether the seller is having financial troubles or has been relocated or transferred, they need to sell now. Therefore, they may give careful consideration to all offers presented. Not only will they be less reluctant to ignore an offer significantly lower than asking, the seller will see that someone is interested and leave room for negotiation in order to get the deal done.

2. Relocations, Transfers and New Positions

It is common for large companies to give promotions and transfer employees at the end of the calendar year. It gives adequate time for the employee to wind down the responsibilities of their old position and possibly move to a new location before the start of a new calendar year. Although it is unfavorable for the employee, you can use it to your advantage. These people have a lot on their minds, and since it is likely they are receiving increased compensation for their troubles, they could be more open to accepting a lower price for their home to complete this part of the process.

3. Heavily Disconnected Market

Currently the economic indicators of the housing market are showing little consistency and uncertainty continues to prevail. Some believe that interest rates have only one place to go and that is up. Others think that the economy is improving, but at a very moderate pace. Only time will tell what transpires, but use this uncertainty to your advantage. For example, if someone is contingent on their home selling to buy another home or gauging what price their home will sell for, it will be easy to identify how desperate they are to sell and how much to sell for. Carefully gauge the seller to obtain a better understanding of their situation. The more you know, the greater your advantage in the transaction will be.