Fall Real Estate Tips for Homebuyers

As the leaves begin to change and temperatures across the United States cool down, you may find yourself falling in love with the idea of a new home. But before you embark on your homebuying journey, it is important to know what buying a home in the fall entails.

The good news is that autumn is often considered a great time to be a homebuyer, since many local markets are cooling off from a busy spring and summer. That said, it is still important to explore real estate market insights and go into fall homebuying with a plan in mind. In this article, we will explore the advantages of being an autumn homebuyer and give you the tips you need to know to enter the market confidently.

Is fall a good time to buy a house?

The months between September and December can be a great time for homebuyers to enter the market. In many areas, this is the time when hot markets start cooling off and home sellers are more open to negotiations for the sake of getting their listings off the market. This means you may be able to get a much better deal, especially compared to the busy spring homebuying season.

Since fall is considered to be the off-season for real estate purchases, you are likely to find there is less competition for available homes since many buyers will have closed during the more active spring or summer markets.

When you save your home shopping for the fall, you will also get more attention from real estate agents who have fewer homebuyers on their docket. And if you have the right agent, they will have a better chance of negotiating a good deal for you.

When is the fall homebuying season?

Though it may depend on the area you are buying a home in, the fall homebuying season is generally between mid-September and lasts until the end of the holiday season in December. Though sometimes, December is considered to be the start of the winter homebuying season.

What is the peak season for selling a home?

If you are interested in selling your home, then you may want to consider holding off on listing it during the fall season. Early spring is often considered the time when home sales start to accelerate. There is more competition between eager buyers, so you are more likely to get your home off the market quickly.

However, you may also have a harder time securing a new home if you plan to sell and buy at the same time. It will be important to include home sale contingencies in your offers and be mindful of the market temperature. While it is possible to schedule concurrent closings, make sure you are prepared in case your closing days do not align.

When is the best time to look for a new home?

If you are considering buying a home in the fall, start early in September. The earlier fall homebuying season has a lot to offer in terms of ample inventory and less competition. Homebuyers with school-aged children often plan to move and be in their new homes in August or September. Even households without children tend to move in the summer. That reduces the number of homebuyers you will need to compete with.

Early fall, particularly October, can be a great time for homebuyers to enter the market. When compared to peak homebuying seasons like spring and summer, there is often less buyer demand and an overall slower market pace in the fall.  The weather also tends to be more favorable for touring homes in person, though it depends on the area and climate you live in.

There is regional seasonality to consider, too. Here are the U.S. regions listed in order of fall volume by the Census Bureau: 

• Southern states of Alabama, Arkansas, Delaware, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi, North Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia, and West Virginia have the strongest fall selling season.

• Western states of Montana, Wyoming, Colorado, New Mexico, Idaho, Utah, Arizona, Nevada, as well as the pacific states of Washington, Oregon, California, Alaska, and Hawaii come in second.

• Midwest states of North Dakota, Kentucky, Wisconsin, Ohio, Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, and Nebraska come in third place.

• Northeast states of Maine, New York, New Jersey, Vermont, Massachusetts, Rhode Island, Connecticut, New Hampshire, and Pennsylvania come in fourth place.

The September and October real estate market can be busy with buyers wanting to close deals and move into their new homes before the winter holiday season. But one thing that has made home shopping accessible during all seasons is the online real estate sites like Realtor.com, Redfin, and Trulia. In the past, viewing homes was done almost 100% in person. But now, from the comfort of your computer, you can shop online and find properties that are definite contenders.

Fall real estate buying tips

No matter what your goals for your home purchase are, it is possible that there will be some challenges along the way. Even though fall is considered to be a great time to buy a home, it is still important to take steps to set yourself up for success. Here are some tips for homebuyers who are looking for ways to help ensure a more seamless buying experience:

1. Determine your homebuying budget and timeline.

Going into the homebuying process with a budget and timeframe in mind can help you map out the path to success. Use a mortgage calculator to better understand what you can afford, and how much you may need to save for the down payment and closing costs.

This will also help you with outlining a reasonable homebuying timeline. Will you need to sell and buy at the same time? Is it better to hold off and wait for rates to go down? These questions, and more, are important to answer before you jump into buying a home in the fall.

2. Research local market conditions.

Once you have a homebuying budget in mind, it is important to pay attention to current market conditions. These can vary depending on where you are located, so make sure you are researching areas relevant to your personal home search strategy.

Even though buyer's markets are common in the fall, the area you are looking for a home in may still be in a seller’s market. Regardless of the temperature of the market, it is still important to know what to expect and gain insights on potential negotiation tactics with sellers. That way, you can feel prepared to submit a comprehensive offer when you find a home you love.

3. Obtain mortgage pre-approval from a trusted lender.

A good way to show that you are a serious homebuyer is by getting pre-approved for a mortgage. Mortgage pre-approval proves to sellers that your offer is worth considering and can even help you stand out against other potential buyers. Once you have a pre-approval letter in hand, it will also provide a more accurate home loan amount that will determine your final budget.

Things to consider before buying a house

No matter what season your homebuying journey begins in, one of the best things you can do to prepare is getting pre-approved as soon as possible. Whether it is a seller's market or a buyer's market, it is good to get pre-approved right away and determine your homebuying budget. Make sure your financial documents are up to date, and remember it is worth the advantage it may give you when it is time to start house hunting.