5 Reasons Why the Best Month to Buy a House Is in the -Ber Period

When it comes to borrowing money to make big purchases like new property, doing so from a bank is a secure choice. In order for banks to profit from the loans they give out, they charge borrowers with an interest rate that is a bit higher. An interest rate is the percentage of the principal which is charged by a bank for the use of its money. Meanwhile, the principal is the amount of money lent.

It is easier and cheaper to borrow money from banks for financing property investment when interest rates are low. The lower the interest rate, the more encouraging it is for people to borrow money. Luckily, interest rates are lower during the –ber months due to limited demand, making it a cheap and perfect season for house loans.

Most people are busy celebrating the holidays during the –ber months and the last thing that they want to do during that season is buy a new property. Instead of buying a new house, they would rather buy something new for the house. Not many people are willing to spend their time off work looking for a new place to call home.

When the number of buyers is low, it is easier to negotiate prices and terms with investors. Considering the fact that not many people sell their houses during the holidays, it also means that buyers don’t have lots of houses to choose from. This isn’t exactly a major obstacle in real estate because for buyers and sellers alike, it means less competition.

The –ber months isn’t just the time for holidays and family get-togethers, but it is also the time for benefits such as bonuses and 13th month pays. This extra cash is usually spent shopping for new items, from Christmas decorations, new clothes, gifts, to even new houses!

Since people have more buying power during this time of the year, they are more than willing to invest their cash. Holiday bonuses can also add to the money saved up for a new house. Moreover, since it’s almost the end of the year, the bills to pay are fewer. In essence, buying a new house is generally more motivating (and easier!) when you have more money.

A tax deduction or discount isn’t the main reason for people to buy new property, but it can be one of the many factors that they consider when doing so. Moreover, because there are only a few people buying properties during this time of the year, there is a tendency for sellers to give more discounts in order to attract more buyers and meet their annual targets as well.

Tax benefits such as discounts on property taxes and even tax exemptions are some of the many perks that you can itemize upon purchasing new property during the holidays, and it can even help you save up for the next year. Nobody is hurrying you to settle a deal for a new house before the year ends, but considering these benefits is a great financial action if you’re thinking about investing your money on property.

The Philippines is a tropical country. When it is sunny, the temperature rises to a relatively high level, so most people may find going out uncomfortable. But during the –ber months, the temperature drops to a cooler level, making it easier and more comfortable to accomplish tasks such as house-hunting.

Looking for a new property during the cold weather also has lots of advantages. You can see the real state of the house and some of its issues, such as cold rooms or jammed doors, that you would have only during the cold weather. You can also see the issues that are only brought about by rains like leaky roofs and damaged ceilings. In the long run, you will be able to save on house maintenance and renovation.

While some may firmly believe that there is no such thing as perfect timing and you only have to make the timing perfect, it wouldn’t hurt to try house searching during the –ber months, right?

Make sure to check out Yoorekka.com to see more real estate tips and tricks!