October through February is the best time to close for buyers.
According to ATTOM, buyers who close in October had the lowest premium of any month through the year, at 2.9%. In October, the median sales price was $210,000, compared to the automated valuation model of $204,000.
Following October, December buyers pay a premium of 3.4%, with a median AVM of $204,000 and a median sales price of $211,875. Meanwhile November buyers pay 3.9%, with a median AVM of $205,036 and a sales price of $212,000. January buyers pay a 3.9% premium and February buyers pay 5.3% premium. Comparatively, buyers who purchase in May pay a premium of 11.5%.
The analysis was able to nail down specific days in which buyers historically saved the most money. Dec. 5 proved the winner at a 1.6% premium, followed by Dec. 26 at a 1.6% premium and Jan. 6 at a 2.2% premium. On the other hand, there are several days in May in which buyers paid at least a 15% premium.
If you have buyers feeling frustrated with the market, maybe now is the time to encourage them to approach the process with a new attitude. “Well, after the buyer faces rejection for the umpteenth time, there comes a point when he says enough is enough,” said PAR Treasurer Preston Moore. “Now what should he do? Wait to buy or just give up? All he wants is a home for his family. At this point, the size of the backyard, a modern kitchen or environmentally-friendly are not high on his want list. He needs a home.”
“Waiting for better days or better times might not happen any time soon due to the supply side issues we are having,” added Moore. “The Pittsburgh real estate market tends to slow down when the weather gets cold and the holidays are approaching. As spring is born, the market heats up.”