Winter home listings can pay off
MetroCreative
Real estate experts say sellers can use the holiday time to show potential buyers the cozy warmth of a home.
Listing a home in the winter can draw hesitancy for some sellers, but real estate experts are finding it can actually pay off.
While most Realtors® don’t associate winter with the busiest time in the industry, research shows clients may benefit from listing their homes in the colder months, states the Pennsylvania Association of Realtors® (PAR).
Average sellers net more above asking price during the months of December, January, February, and March than they do from June through November even in cold-weather cities like Boston and Chicago, according to a study by Redfin, an online brokerage firm.
Further, homes listed in the winter sold faster than those posted in spring.
“Winter is an excellent time to sell a house because typically, if buyers are out looking, they’re motivated or need to move in right away,” said Tom Simon, real estate broker and owner of Howard Hanna Real Estate Services in Belle Vernon.
He said inventory is another factor that ties in with winter home sales.
Most agents agree that timing mainly depends on supply and demand, and the winter season does need special pricing considerations.
“Many sellers can use this time of year as an opportunity to stage their home to show potential buyers how warm and cozy their home can be during the holiday season,” said Danny Matthews, real estate agent at SWC Properties in Uniontown.
He said another advantage to selling a home during the winter is that buyers willing to take time out of their busy holiday season to view a home is an indication to sellers they are serious.
However, Matthews said some sellers may be nervous about listing their home this time of year for several reasons. “Some sellers my not want to deal with the inconvenience of showing their home during the holiday season between family coming and going, not to mention how busy many people are this time of year with parties, shopping, and other holiday obligations, ” he said.
The weather also plays an integral role, said Matthews, as sellers may not be comfortable with the possibility of having buyers track in dirt, ash or mud.
To avoid a mess, Matthews recommends sellers post a note asking agents and buyers to remove their shoes upon entering their home or have shoe covers available.
In inclement weather, Matthews suggests to clear walkways of snow, ice or other debris and be sure to have adequate lighting inside and out.
This makes a home appear brighter as the days get darker sooner during the winter and is essential for evening showings.
The most recent data from PAR shows the housing inventory improved in Pennsylvania as the real estate market continued its recovery in 2014.
New listings also climbed nearly four percent to 259,690 in 2014, compared to 2013 and the statewide average home sales price increased slightly to $209,195.
“This shows that homeowners are more comfortable with the market and are listing their homes,” said PAR President Ron Croushore.
Although spring is peak home-shopping season for most families that want to move when the kids are out of school, Time Magazine reports it actually pays to list in the winter when buyers tend to have more urgency.
“A good portion of movement is driven by a higher proportion of lower priced and smaller-sized homes getting sold during the winter months,” said National Association of Realtors® (NAR) Chief Economist Lawrence Yun.
He said the discounts in the winter and during the holidays may be a perfect opportunity for homebuyers looking to delve into the housing market.
“Real estate professionals know this to be true in everyday business since there are far fewer buyers shopping over the holidays,” said Yun.
Redfin economist Ellen Haberle suggests homebuyers chasing a bargain to act fast with an anticipated rise in mortgage rates from the Federal Reserve.
According to Haberle, closings in January provide the best discount for homebuyers meaning they can get the best deals when they get a home under contract around December.
To create a sense of warmth throughout the entire home, NAR recommends to start with the living room where staging can have the greatest impact.
Use items like a throw blanket to set the winter mode or stay neutral by using seasonal touches like stacked wood by the fireplace.
Other ideas provided by NAR real estate professionals include:
– Jazz up “For Sale” signs by adding balloons to make them more visible and festive to people passing by.
– Include summertime photos of the home in during brighter days when the landscaping is lush.
– Warm up the open house to give it a comfy, cozy feel in the winter by throwing a log on the fireplace, even if it’s not on.
– Consider offering apple cider doughnuts to get buyers to linger a bit longer.
– Keep the front door clear.
– Fix weather-related problems that occur before or during showings or gather quotes on the cost to make such repairs and decide whether it makes more sense to offer that to the buyer.