Joys of Moving During the Holidays

The hustle and bustle of the holidays will often discourage real estate buyers and sellers.  However, there are many advantages to moving during the holidays.  It can be good for you whether you are a buyer or a seller.  Here are a few reasons why you may want to move during the next couple of months.

Seller Reasons

Your home is never more beautiful than when it is decorated for the holidays.  Evocative scents and charming decorations will allow potential buyers to see your home at its best.  But there are more practical reasons to consider having your home on the market during the holidays.

Motivated buyers:  Corporations will often notify their employees about staff changes right after the budgets have been set for the coming year.  Very often, they will give little notice to the upwardly mobile executive.  The family will need to move quickly to be ready for the New Year job expectations. 

Low competition:  Because so many sellers shy away from selling during the holidays, the inventory of home choices will be slim for motivated buyers.  In a normal year, low inventory will lead to higher prices for the seller.

Negotiation power:  When a buyer finds a home during the holidays, they will often be willing to wait until early in the New Year to demand that you move out.  The seller can negotiate to get more for your house if they demand that you move out quickly during the holidays.  The nostalgia and emotion that comes with the holidays can also affect negotiations favorably.  Take advantage of the time of year when people feel more generous.

Buyer Reasons

Serious sellers:  Homes on the market during the holidays often fall into one of two categories.  They may be faced with a relocation and need to move quickly.  Or the house may have been on the market for a while and they can’t wait to get the house under contract so they can stop showing it.   Use this leverage to make an offer acceptable to the seller’s circumstances.

Mortgage interest & timing:  With lower demand for mortgage loans, interest rates will often see a decline and quickly increase after the first of the year.  It is “crunch time” for the mortgage company to meet their annual goals. They may be more willing to offer lower fees or even more competitive interest rates when business is slow. 

Faster closing:  With fewer transactions needing to close at the end of year, appraisers, surveyors and underwriting staff are able to process the transaction quicker simply because there is not a line ahead of you. 

Tax deductions:  Let the IRS help you with purchasing a home.  Recognize that if you wait until January to purchase your home, you will need to wait until the NEXT tax year to get your IRS mortgage deduction.  Talk to a qualified tax professional to learn the specific advantages to you.  It is possible that you will be able to subtract mortgage interest and even some of your closing costs.  The savings can be significant.

A Few Cautions

Moving during the holidays can add anxiety to an already stress filled time of year.  Make sure you allow for some self-care and wholesome nourishment.  Enjoy the sights, sounds and scents of the season in small doses between the moving activities.