This question can be comfortable as well as challenging to answer, as many factors count. You need to consider many things, from the primary concern of weather to the property prices. Everything comes into notice. It takes a long time and many years for one to reach a situation in life when one can buy a home. Things should be perfect. Isn’t it?
One cannot just tell right away that which part of the year is the best time to buy a house. After all, it is a big step, and huge money investment is there. Indeed, there is no chance to leave any loophole and let the flaws or regretful decisions spoil your hard work. The best thing is to have a look at the various decisive factors and then reach a final decision.
When the cold months are there to be the most promising time
Certain months are never considered suitable for home selling. At that time, the property prices are always low, and you can buy a house or property in a pocket-friendly budget. For that, you need to detect the months that give a high sale.
The summers, especially June, is not a good time to buy as during this month home sale is at its best. The prices are high as compared to the other parts of the year. It can make you pay high premiums if you take a mortgage life insurance.
The loss of buying in the slow property market is that you have less number of options, and you may miss the choices at the preferred location. Whatever it is the choice of yours. Usually, January to March is the best time.
When overall economic conditions are neither too bad nor too good
You are right if you follow the principle behind the saying – ‘Excess of everything is bad’. The economic situations of a nation matter a lot when you buy a home. A country that is doing great in its businesses and has a high and promising GDP growth may cause expensive property as the necessary consequence.
If a country is in deep stress, it can cause a price fall in the property prices which is good, but then mortgage products can be expensive. The current scenario can be a perfect example of this situation. Due to the corona chaos, the property market is down. The prices of the houses are 5% lower than the standard conditions.
However, the mortgage market is also ill due to the house arrest like the situation of the people who are prospective buyers. The LTV has degraded to 60% and does not even think about the 100% LTV.
When the age is RIGHT
Oh yes, how we can forget to talk about this. It is a dominating factor, and most of the borrowers face varied conditions due to the age factor. However, one thing that is clear to all is that younger you are, and better is the experience. A young buyer gets home, mortgage, everything with maximum flexibility in the tenure. While on the other hand the one above 45 or 50 or something like that has to struggle a lot.
Buying a home in the right age is always beneficial, especially if you have a particular concern.
Example – If you want to get 100% mortgage for home buying, 35 is the idol age. You will have countless options, contact your broker, and it can help you with sundry options of the lenders that take no deposit. They always have great deals to offer. If you want to explore the possibilities now, then read here mortgage without deposit guide at Shine Mortgages, and get the necessary information. You get better LTV percentage, APR and significant loan amount if you buy a home in the right age.
When you get a hike in your salary
Your personal financial situation matters a lot when you want to know when to buy a home.
- You can bear the related expenses and can save more significant for the deposit.
- The debt-to-income ratio can be maintained at the right level.
- The lenders give you easy approval on the mortgage application
- Due to your strong creditworthiness, you can get the funds at a lower rate.
- You can easily manage the loan instalments
Make sure you stay in the same company for a long time. It is suitable for your property loan approval chances if you are working in the current company from last two years. Salary is always in the prime notice in home buying. It is one of the most important things to come on the dissection table.
When you are in the best phase of your equity
It is a great time and reason to buy a home. A person with a reasonable equity back-up in stocks or any investment is always a respectable name in the eyes of the property market. Your higher capacity on this part always opens the doors to the best options. You can quickly negotiate on the property prices and also at the time of taking a mortgage.
Healthier you are in the financial back-up, better is your home buying experience. Just look around, a great example is right there. During this challenging time of lockdown, lenders are ready to lend to the new fund seekers if they have 25% equity.
Every small factor is essential, and you cannot neglect any of them. Most of the borrowers want to be safe in every aspect. For that, it is necessary to consider all the above points. There is a long journey to cover when you plan to buy a home. It is not an exaggeration to say that home buying is an expedition in itself, and one needs to be cautious of all those conditions that can affect the decision.
The most important thing is to be at best in your personal finances as that is the first thing to come into notice. There are always good things to expect when you manage your funds in the best possible manner.