Any credible estate agent knows that there are certain times of the year that are more favourable when it comes to selling high-end properties.
Most people tend to sell their home during the spring but the best time to sell a house may depend on several factors including where the house is located along with the type of property being sold.
It certainly pays to be prudent with timing the sale of your home as this can greatly improve your chances for a quicker sale and a higher return on investment whereas the opposite could be true if misjudged.
According to the Telegraph, houses listed during the period of April through to June sell faster with the very best time being between May and June. This usually concludes the sale of houses that were listed for sale during winter months.
Year on year the property market also enjoys a 4% price growth between the months of March and May, which gives property owners an even bigger incentive to sell. This growth in price slows down as the autumn and winter months approach since there isn’t much movement in the property market during these times.
From an aesthetic point of view, spring offers the best time of year for displaying a home due to being surrounded by the blooming of all those plants and flowers. Furthermore, homes also look more appealing and attractive during the warmer weather, and it’s also easier to prepare the home for the sale during this time of the year.
If the home has a garden, it is easier to maintain and keep it clean without all the mess that occurs during the wet winter months. It’s also important to make sure the home is in tip-top condition, since there might be stiff competition during this time of the year.
Most property sales go through during spring, however, it is advisable to start marketing the luxury home early enough. Lots of people visit property portals around the month of January, since this is the period people plan for their yearly budgets or make life-changing decisions.
According to Zoopla, there was a 45% increase in visits by people seeking to purchase high-end properties around London during the month of January. The same portal reported more than a hundred thousand telephone enquiries from people seeking to purchase luxury homes.
Vacation properties do well in the market during the spring and summer months as this is obviously the time of year when buyers tend to visit such places. So many high-end property buyers are in the vicinity of these locations when the property is being listed, which places the seller at an advantage.
Calendar months are not the only considerations to make when selling a luxury home. It’s also important to study sales patterns, including things like interest rates, housing supplies and rent prices. With increasing rent prices, owning a home becomes more attractive since monthly mortgage payments may be significantly lower than the rent.
Another consideration is housing supply within the area where the property is to be sold. When there is a tight inventory, sellers will tend to hold out anticipating higher prices, and this is more prevalent with luxury homes. There are usually not very many being sold at one time in the same location, which makes them fetch high prices.
Most importantly, a low interest rate is also a big determinant.
Interest rates impact directly on the monthly mortgage payments of a buyer. When there are lower interest rates, the monthly payments will also be lower. This implies that lower interest rates motivate buyers to spend more money when purchasing a home. In a real situation, sellers who want to generate higher profits will list their homes during a period which is characterised by rising price of rents and low interest rates.
Although money is the biggest motivation when it comes to selling a home, there are other reasons that may determine the best time for putting a house up for sale. Even if the profit margins might not be as high as expected, this may not deter a seller when there are other personal, business or financial reasons for selling their property.
People buy luxury homes for different reasons. There are those who purchase as a means of upgrading their lifestyle. Others buy high-end properties, as a holiday home, to relax with family, away from the busy cities. However, some are just looking for better facilities and amenities that might not be available in their current home. A wise seller should determine his or her target market and then list the home appropriately.
High-end properties are often luxurious due to their lifestyle and location. If the luxury home belongs to a development that comes with yacht club privileges or a clubhouse, it is important to show that information when the house is being listed.
When purchasing a home, prospective buyers will often seek to know their neighbours, or people living in the vicinity. As such, it is important to determine the nature of the potential buyer and their preferences, so that they can be shown properties that match their lifestyle needs.
Selling a luxury property requires careful planning and consideration. Luxury homes are not like apartments which can be put on sale any time of the year, and still fetch a buyer. Luxury homes have a different target market which requires in-depth analysis for the seller to determine the best time to sell a house. However, with the right pricing, and timing along with carefully chosen promotion promotion tactics there is no reason why the property won’t be sold relatively quickly and for a premium.
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